Haas Company manufactures and sells one product. The following information pertains to each of the company's first three years of

operations:

Variable costs per unit:

Manufacturing:

Direct materials $$20$

Direct labor $ $$12$

Variable manufacturing overhead $$7$

Variable selling and administrative $$3$

Fixed costs per year:

Fixed manufacturing overhead $$110,000$

Fixed selling and administrative expenses $$50,000$

During its first year of operations, Haas produced $40,000$ units and sold $40,000$ units. During its second year of operations, it

produced $55,000$ units and sold $30,000$ units. In its third year, Haas produced $20,000$ units and sold $45,000$ units. The selling price of

the company's product is $$46$ per unit.

Required:

Compute the company's break$-$even point in unit sales.

Assume the company uses variable costing:

a$.$ Compute the unit product cost for Year $1,$ Year $2,$ and Year $3.$

b$.$ Prepare an income statement for Year $1,$ Year $2,$ and Year $3.$

Assume the company uses absorption costing:

a$.$ Compute the unit product cost for Year $1,$ Year $2,$ and Year $3.$

b$.$ Prepare an income statement for Year $1,$ Year $2,$ and Year $3.$