Hayek Bikes prepares the income statement under variable costing for its managerial reports, and it prepares the income statement under absorption costing for external reporting. For its first month of operations, 375 bikes were produced and 225 were sold; this left 150 bikes in ending Inventory. The income statement information under variable costing follows. Sales (225 * $1,700) Variable product cost (225 * $600) Variable selling and administrative expenses (225 * $65) Contribution margin Fixed overhead cost Fixed selling and administrative expense Net income $ 382,500 135,000 14,625 232,875 75,000 80,000 $ 77,875 1. Prepare this company's income statement for its first month of operations under absorption costing. 2. Fill in the blanks: Complete this question by entering your answers in the tabs below. Required 1 Required 2 Prepare an income statement for the current year under absorption costing. KENZI KAYAKING Saved Required 1 Required 2 Prepare an income statement for the current year under absorption costing. KENZI KAYAKING Absorption Costing Income Statement Net income (loss) Fixed costs added to inventory Sales (225 $1,700) Variable product cost (225 $600) Variable selling and administrative expenses (225 565) Contribution margin Fixed overhead cost Fixed selling and administrative expense Net income $382,500 135,000 14.625 232,875 75,000 80,000 $ 77,875 1. Prepare this company's income statement for its first month of operations under absorption costing. 2. Fill in the blanks Complete this question by entering your answers in the tabs below. Required 1 Required 2 Fill in the blanks: The dollar difference in variable costing income and absorption costing income units fixed overhead per unit