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 (129,000 units) during the first month, creating an ending inventory of 25,000 units. During February, the company produced 104,000 units during the month but sold 129,000 units at $590 per unit. The February manufacturing costs and selling and administrative expenses were as follows: Number of Unit Units Total Cost Cost Manufacturing costs in February 1 beginning inventory: Variable Fixed 25,000 $295.00 $7,375,000 25,000 20.00 Total $315.00 500,000 $7,875,000 Manufacturing costs in February: < Variable Fixed Total 104,000 $295.00 $30,680,000 104,000 23.10 2,402,400 $318.10 $33,002,400 Selling and administrative expenses in February: Variable 129,000 15.40 $1,986,600) Fixed 129,000 4.00 516,000 Total 19.40 $2,502,600 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.