I LITO Lumpany produced 32,000 units and sold 27,000 units. The selling price of the company's produe Required: 1. Assume that the company uses absorption costing: a. Compute the unit product cost. b. Prepare an income statement for the year. 2. Assume that the company uses variable costing: a. Compute the unit product cost. b. Prepare an income statement for the year. Complete this question by entering your answers in the tabs below. Req 1A Req 1B Req 2A Req 2B Prepare an income statement for the year. Assume that the company uses absorption costing. Lynch Company Absorption Costing Income Statement Sales $ 1,512,000 Cost of goods sold 999,000 Gross margin 513,000 Selling and administrative expense Net operating income $ 513,000 I LITO Lumpany produced 32,000 units and sold 27,000 units. The selling price of the company's produe Required: 1. Assume that the company uses absorption costing: a. Compute the unit product cost. b. Prepare an income statement for the year. 2. Assume that the company uses variable costing: a. Compute the unit product cost. b. Prepare an income statement for the year. Complete this question by entering your answers in the tabs below. Req 1A Req 1B Req 2A Req 2B Prepare an income statement for the year. Assume that the company uses absorption costing. Lynch Company Absorption Costing Income Statement Sales $ 1,512,000 Cost of goods sold 999,000 Gross margin 513,000 Selling and administrative expense Net operating income $ 513,000