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I still have question number 2? how to do with that? Medical Supplies Division Variable Costing Income Statements For the Previous 3 Years Year 1

I still have question number 2? how to do with that?

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Medical Supplies Division Variable Costing Income Statements For the Previous 3 Years Year 1 Year 2 $ 80,000 $ 100,000 Sales Year 3 $ 120,000 Less: Variable cost of goods sold -31,200 40,000 -47,800 Variable selling expense -3,200 -5,000 -6,000 Contribution margin 45,600 $ 55,000 $ 66,200 Less: Fixed overhead -29,000 -30,000 -30,000 -10,000 Other fixed costs -9,000 -10,000 Operating income 7,600 $ 15,000 $ 26,200 Feedback Check My Work 2a. Use a contribution margin format income statement. 2b. What is the difference between the absorption-costing and variable-costing incomes? Medical Supplies Division Variable Costing Income Statements For the Previous 3 Years Year 1 Year 2 $ 80,000 $ 100,000 Sales Year 3 $ 120,000 Less: Variable cost of goods sold -31,200 40,000 -47,800 Variable selling expense -3,200 -5,000 -6,000 Contribution margin 45,600 $ 55,000 $ 66,200 Less: Fixed overhead -29,000 -30,000 -30,000 -10,000 Other fixed costs -9,000 -10,000 Operating income 7,600 $ 15,000 $ 26,200 Feedback Check My Work 2a. Use a contribution margin format income statement. 2b. What is the difference between the absorption-costing and variable-costing incomes

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