Is the information in the Selected Balance Sheet information not the balance sheet needed? There is also an income statement that can be attached.

[The following information applies to the questions displayed below.) Lehighton Chalk Company manufactures sidewalk chalk, which it sells online by the box at $26 per unit. Lehighton uses an actual costing system, which means that the actual costs of direct material, direct labor, and manufacturing overhead are entered into work-in-process inventory. The actual application rate for manufacturing overhead is computed each year; actual manufacturing overhead is divided by actual production (in units) to compute the application rate. Information for Lehighton's first two years of operation is as follows: Year 1 2,800 3,400 Year 2 2,800 2,200 Sales (in units) Production (in units) Production costs: Variable manufacturing costs Fixed manufacturing overhead Selling and administrative costs: Variable Fixed $17,680 21,080 $11,440 21,080 11,200 10,200 11,200 10,200 Selected information from Lehighton's year-end balance sheets for its first two years of operation is as follows: LEHIGHTON CHALK COMPANY Selected Balance Sheet Information Based on absorption costing End of Year 1 Finished-goods inventory $ 6,840 Retained earnings 13,980 End of Year 2 23,320 End of Year 2 Based on variable costing Finished-goods inventory Retained earnings End of Year 1 $ 3, 120 10,260 23,320 Required 4 Required 5 Required 6 Compute the amount by which the year-end balance in finished-goods inventory declined during year 2 (i.e., between December 31 of year 1 and December 31 of year 2): . Using the data from the balance sheet prepared under absorption costing. . Using the data from the balance sheet prepared under variable costing. Show less Amount of Decline Absorption costing Variable costing Required 4 Required 5 Required 6 Refer to your calculations from requirement 4. Compute the difference in the amount by which the year-end balances in finished-goods inventory declined under absorption versus variable costing. Then compare the amount of this difference with the difference in the company's reported operating income for year 2 under absorption versus variable costing. (Negative amounts should be indicated by a minus sign.) Show less Amount of Difference Amount of decline in finished-goods inventory balance during year 2 Reported operating income for year 2 (absorption versus variable costing)