Joplin Industries Inc, manufactures and sellis high-quality sporting good equipment under ta highly recognizable Sports too. The company began operations on May 1 and operated at 100% of capacity (82.000 units) chanting the trst month, creating an ending inwentary of 11,000 units. During Junn, the company produced 74,800 garments during the month but sokt 85,800 unts at 100 per unit. The June manufacturing costs and selling and administrative expenses were as follows: Number of Units Unit Cout Total Cost Manufacturing costs in June 1 beginning inventory Variable 11.000 $52 5572.000 Found 11.000 = 88,000 Total 500 5660,000 Manufacturing costs in June Variable 74.800 $52 $3,889,600 Fixed 74 800 10 748,000 Total $62 $4,637,600 Seling and administrative expenses in June Variable 85.800 518 $ 1,544.400 Fixed 85.600 2 171,600 Total $20 $1.716.000 Absorption Costing Income Statement a. Prepare an income statement according to the absorption conting concept for Juno. Hater to the list of Labels and Amount Descriptions for the exact worting of the answer choice for text entrios. Be sure to complete the statement heading. A cokon () www automatically appear if it is required. If a not fous is incurred, enter that amount as a negative number coing a mere sign Joplin industries in Absorption Costing Income Statement Label 1 2 Cost of goods solt 5 4 5 6 7 b. Prepare an income statement according to the variabile conting concept for me. Motor to the inte e Label and Amount Descriptions to the exact worting of the tower taxt ontos. Be sure to complete the statement houding. Acolon () was automatically appear it is required. We not leas is indermod, enter true amevunt as a negative counter uning a murun sign Joplin Industries Inc Variable Costing Income Statement Label 1 1 . 7 1 18 Final Question c. What is the reason for the difference in the amount of income from operations reported in (a) and (b)? Check all that apply Under absorption conting when Inventory decreason, the income statement will have a higher income from operations than wil he variable costing income statement Under variabile conting all of the fixed manufacturing cost is deducted in the period in which is incurred, regardless of the amount of inventory change. Under variable conting the units that were produced but untold in May include fixed manufacturing cont, which is tecluded in cont of goods sold for June There is no difference: the income from operations reported in (a) and (b) is the same Under absorption costing, when inventory decreases the income statement will have a lower income from operations than will the variable costing income statement