Income Statements under Absorption and Variable Costing Shawnee Motors Inc. assembles and sells MP3 players. The company began operations on August 1 and operated at 100% of capacity during the first month. The following data summarize the results for August: Sales (9,000 units) $1,350,000 Production costs (12,000 units): $666,000 Direct materials Direct labor 319,200 Variable factory overhead 159,600 Fixed factory overhead 106,800 1,251,600 Selling and administrative expenses: Variable selling and administrative expenses $194,000 Fixed selling and administrative expenses 75,100 269,100 If required, round interim per-unit calculations to the nearest cent. a. Prepare an income statement according to the absorption costing concept. Shawnee Motors Inc. Absorption Costing Income Statement For the Month Ended August 31 b. Prepare an income statement according to the variable costing concept. Chownoo Motoro Ino Fixed costs: %24 %24