Herring Manufacturing manufactures a single product list it will sell for $06 per unit. The company is looking to project its operating income for its first two years of operations. Cost information for the single unit of its product is as follows: Fixed manufacturing overhead (MCH) for each year is $299,000, while fixed operating expenses for each year will be $81,000 Begin by calculating the difference in income each year using the formula provided. Now predict Herring's operating income under variable for both its first year and its second year of operations Prepare a variable coating income statement for Herring's first year of operations and Herring's second year of operations