HW Score: 50%, 5 of 10 pts X P21-28A (similar to) Question Help O Game Source manufactures video games that it sols for $40 each. The company uses a feed manufacturing overhead location rate of pergame. Assume al costs and production levels are exactly as planned. The following data are from Game Source's first two months in business during 2018 ock the loon to view the data) Requirement 1. Compute the productos pergane produced under absorption conting and under variable costing October 2010 Absorption Variable costing Total product cost per game ompany uses a fixed manufacturing overhead allocation rate of $6 per game. Assume all costs ar Requirements sor a. 1. Compute the product cost per game produced under absorption costing and under variable costing. 2. Prepare monthly income statements for October and November, including columns for each month and a total column, using these costing methods: absorption costing. b. variable costing. 3. Is operating income higher under absorption costing or variable costing in October? In November? Explain the pattern of differences in operating income based on absorption costing versus variable costing. 4. Determine the balance in Finished Goods Inventory on October 31 and November 30 under absorption costing and variable costing. Compare the differences in inventory balances and the differences in operating income. Explain the differences in inventory balances based on absorption costing versus variable costing. Print Done Clear All mework 2 of 3 (3 complete) h. The company uses a fixed manufacturing overhead allocation rate of $6 per game. Assume all costs and pro nder abg i Data Table October November Sales 2,000 units 2,700 units Production 3,000 units 2,700 units $ 15 15 3 3 Variable manufacturing cost per game Sales commission cost per game Total fixed manufacturing overhead Total fixed selling and administrative costs 16,200 16,200 10,500 10,500 Print Done swer. Clear All