Joplin Industries Inc. manufactures and sells high-quality sporting goods equipment under its highly recognizable J-Sports logo. The company began operations on May and operated at 100% of capacity (68,200 units) during the first month, creating an ending inventory of 6,200 units. During June, the company produced 62,000 garments during the month but sold 68,200 units at $95 per unit. The June manufacturing costs and selling and administrative expenses were as follows: Manufacturing costs in June 1 beginning inventory: Variable Fixed Total Manufacturing costs in June: Variable Number of Units Unit Cost Total Cost 6,200 $38.00 $235,600 6,200 14.00 86,800 $52.00 $322,400 Fixed Total 62,000 62,000 15.40 $38.00 $2,356,000 954,800 $53.40 $3,310,800 Selling and administrative expenses in June: Variable 68,200 Fixed 68,200 7.00 18.20 $1,241,240 477,400 Total 25.20 $1,718,640 a. Prepare an income statement according to the absorption costing concept for June. a. Prepare an income statement according to the absorption costing concept for June. Joplin Industries Inc. Absorption Costing Income Statement For the Month Ended June 30 Sales Cost of goods sold: Beginning inventory Cost of goods manufactured Total cost of goods sold Gross profit Selling and administrative expenses Income from operations $ 68,200 X $ b. Prepare an income statement according to the variable costing concept for June. Joplin Industries Inc. Variable Costing Income Statement For the Month Ended June 30 Sales Variable cost of goods sold Manufacturing margin Variable selling and administrative expenses Contribution margin Fixed costs: Fixed manufacturing costs Fixed selling and administrative expenses Total fixed costs Income from operations Feedback