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Income Statements under Absorption Costing and Variable Costing Sales (15,000 units) $1,800,000 Production costs ( 19,000 units): Direct materials If required, round interim per-unit calculations

image text in transcribedimage text in transcribed Income Statements under Absorption Costing and Variable Costing Sales (15,000 units) $1,800,000 Production costs ( 19,000 units): Direct materials If required, round interim per-unit calculations to the nearest cent. a. Prepare an income statement according to the absorption costing concept. Gallatin County Motors Inc. Absorption Costing Income Statement For the Month Ended July 31 Sales Cost of goods sold Gross profit $ Selling and administrative expenses Operating income b. Prepare an income statement according to the variable costing concept. Gallatin County Motors Inc. Variable Costing Income Statement For the Month Ended July 31 Sales Variable selling and administrative expenses ! Fixed costs: Total fixed costs Operating income $ $ $ $

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