I dont understand this at all:((

absorption costing operating income as shown below. Production and cost data for the 1 During Durton Company's first two years of operations, the company reported two years are given: Year1 Year2 \"ms 25,000 25,000 produced Units sold 20,000 30,000 10 points eBook Year 1 Year 2 Print Sales (at $50 per unit) $1,000,000 $1,500,000 References Cost of goods sold: Beginning inventory 0 170,000 Add cost of goods manufactured (at $34 per unit) 850,000 850,000 Goods available for sale 850,000 1,020,000 Less ending inventory (at $34 per unit) 170,000 0 Cost of goods sold 680,000 1,020,000 2. Reconcile the absorption costing and variable costing operating income gures for ' year. (Loss amounts should be indicated by a minus sign.) Variable costing operating income (loss) Add: Fixed manufacturing overhead cost deterred in inventory under absorption costing Deduct: Fixed manufacturing overhead cost released from inventory under absorption costing Absorption costing operating income 1. Prepare a variable costing income statement for each year in the contribution format. Variable Costing Income Statement Year 1 Year 2 Variable expenses: Total variable expenses Fixed expenses: Total fixed expenses Operating income (loss)During Durton Company's first two years of operations, the company reported absorption costing operating income as shown below. Production and cost data for the two years are given: Year 1 Year 2 Units 25,000 25,000 produced Units sold 20,000 30,000 Year 1 Year 2 Sales (at $50 per unit) $1,000,000 $1,500,000 Cost of goods sold: Beginning inventory 0 170,000 Add cost of goods manufactured (at 850,000 850,000 $34 per unit) Goods available for sale 850,000 1,020,000 Less ending inventory (at $34 per unit) 170,000 0 Cost of goods sold 680,000 1,020,000 Gross margin 320,000 480,000 Selling and administrative expenses\" 310,000 340,000 Operating income $ 10,000 $ 140,000