kanaka light aircraft, a company that produces light recreational aircraft. Data concerning the company's operations appear below.

particulars per aircraft per month selling price 100,000 Direct materials 19,000 Direct labour 5,000 Variable manufacturing overhead 1000 Fixed manufacturing overhead 70,000 Variable selling and administrative expenses 10,000 Fixed selling and administrative expenses 20,000

inventory January February march Beginning inv. 0 0 1 units produced 1 2 4 Units sold 1 1 1 Ending inventory 0 1 0

a. compute the variable costing unit product cost b. prepare the variable costing income statement c. compute the absorption costing unit product cost d. prepare the absorption income statement e. Reconcile the operating profits under the two costing methods