Johnson and Sons Company was concerned that increased sales did not result in increased profits for $2022.$ Both variable unit and total fixed manufacturing costs for $2021$ and $2022$ remained constant at $$20$ and $$2,000,000,$ respectively.In $2021,$ the company produced $100,000$ units and sold $80,000$ units at a price of $$50$ per unit. There was no beginning inventory in $2021.$ In $2022,$ the company made $70,000$ units and sold $90,000$ units at a price of $$50.$ Selling and administrative expenses were all fixed at $$100,000$ each year.Required:a$.$ Prepare income statements for each year using absorption costing in the gross margin format.b$.$ Prepare income statements for each year using variable costing in the contribution margin format.c$.$ Explain why the income was different each year using the two methods. Show computations.