Ida Company produces a handcrafted musical instrument called a gamelan that is similar to a xylophone. The gamelans are sold for $$950.$ Selected data for the company$$s operations last year follow:

Units in beginning inventory $0$

Units produced $250$

Units sold $235$

Units in ending inventory $15$

Variable costs per unit:

Direct materials $ $135$

Direct labor $ $345$

Variable manufacturing overhead $ $30$

Variable selling and administrative $ $20$

Fixed costs:

Fixed manufacturing overhead $ $65,000$

Fixed selling and administrative $ $25,000$

The absorption costing income statement prepared by the company$$s accountant for last year appears below:

Sales $ $223,250$

Cost of goods sold $180,950$

Gross margin $42,300$

Selling and administrative expense $29,700$

Net operating income $ $12,600$

Required:

$1.$ Under absorption costing, how much fixed manufacturing overhead cost is included in the company's inventory at the end of last year?

$2.$ Prepare an income statement for last year using variable costing.