Income statements under absorption costing and variable costing Fresno Industries Inc. manufactures and sells high-quality camping tents. The company began operations on January 1 and operated at 100% of capacity (128,000 units) during the first month, creating an ending inventory of 19,000 units. During February, the company produced 109,000 units during the month but sold 128,000 units at $500 per unit. The February manufacturing costs and selling and administrative expenses were as follows: Number of Unit Units Cost Total Cost Manufacturing costs in February 1 beginning inventory: Variable Fixed Total Manufacturing costs in February: Variable 19,000 $250.00 $4,750,000 19,000 39.00 741,000 $289.00 $5,491,000 109,000 $250.00 $27,250,000 Fixed Total 109,000 45.00 4,905,000 $295.00 $32,155,000 Selling and administrative expenses in February: Variable 128,000 Fixed 128,000 4.00 30.00 $3,840,000 512,000 Total 34.00 $4,352,000 This information has been collected in the Microsoft Excel Online file. Open the spreadsheet, perform the required analysis, and input your answers in the questions below.