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Stark, Inc., produces and sells a unique robot antenna. The company has just opened a new plant to manufacture the antenna, and the following cost and revenue data have been reported for the first month of the new plant's operation: Selling price $108 Beginning inventory 0 Units produced 35,000 Units sold 30,000 Selling price per unit $50 Selling and Admin expenses: Variable per unit $2 Fixed (total) $360,000 Manufacturing costs: Direct material cost per unit $9 Direct labour cost per unit $8 Variable overhead cost per unit $3 Fixed overhead cost (Total) $350,000 Management is anxious to see how profitable the new antenna will be and has asked that an income statement be prepared for the month. Assume that direct labour is a variable cost. Submission instructions: . Assuming that the company uses absorption costing, compute the unit product cost and prepare an income statement. . Assuming that the company uses variable costing, compute the unit product cost and prepare an income statement. . Explain the reason for any difference in the ending inventories under the two costing methods and the impact of this difference on reported operating income