Income Statements, Variable and Absorption Costing The following information pertains to Viadamic Inc., for last year: Beginning inventory, units Units produced Units sold Variable costs per unit: Direct materials Direct labor Variable overhead Variable selling expenses Fixed costs per year: Fixed overhead 1,400 100,000 101,000 $8.00 $10.00 $1.00 $2.00 $300,000 Fixed selling and administrative expenses $240,000 There are no work-in-process inventories. Normal activity is 100,000 units. Expected and actual overhead costs are the same. Costs have not changed from one year to the next. Required: 1. How many units are in ending inventory? units 2. Without preparing an income statement, indicate what the difference will be between variable-costing income and absorption-costing income. 3a. Assume the selling price per unit is $32. Prepare an income statement using variable costing. Vladamir, Inc. Variable-Costing Income Statement For Last Year Less: Contribution margin Less: Operating income 1000 000 3b. Assume the selling price per unit is $32. Prepare an come statement using absorption costing. Vladamir, Inc. Absorption-Costing Income Statement For Last Year Gross profit Operating income