Lehighton Chalk Company manufactures sidewalk chalk, which it sells online by the box at $24 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: t 1 of 2 Sales (in units) Production (in units) Production costs: 2,789 2,100 3,300 Variable manufacturing costs Fixed manufacturing overhead Selling and administrative costs: $13,200 $ 8,400 16,500 16,500 10,800 18,800 9,800 9,880 Selected information from Lehighton's year-end balance sheets for its first two years of operation is as follows: Based on absorption Finished-goods inventory costing End of Year 1 $ 5,480 14,400 Retained Based on variable costing Retained earnings End of Year 2 25,680 End of Year 2 25,680 End of Year 1 2,400 11,480 1. Reconcile Lehighton's operating income reported under absorption and variable costing, during each year, by comparing the following two amounts on each income statement . Cost of goods sold Fixed cost (expensed as a period expense 2 What was Lehighton's total operating income across both years under absorption costing and under variable costing? 3. What was the total sales revenue across both years under absorption costing and under variable costing? 4. What was the total of all costs expensed on the operating income statements across both years under absorption costing and under variable costing? $ 2,400 11,480 Retained 25,600 Required 1. Reconcile Lehighton's operating income reported under absorption and variable costing, during each following two amounts on each income statement Cost of goods sold Fixed cost (expensed as a period expense 2 What was Lehigh 3. What was the total sales 4. ton's total operating income across both years under absorption costing and under variable costing? revenue across both years under absorption costing and under variable costing? What was the total of all costs expensed on the operating income statements across both years under absorption costing and variable costing? 5. Subtract the total costs expensed across both years [requirement (4)] from the total sales revenue across both years [requireme (3)] (a) under absorption costing and (b) under variable costing 6. Considering the results obtained in requirements 1-5 above, select which of the following statements (is) are true by selecting ar Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Required 4 Required 5 Required 6 Required 3 two amounts on each income statement Cost of goods sold as a th years under absorption costing and under variable costing? 3. What was the total sales revenue across both years under a 4. What was the total of all costs expensed on the operating income statements across both years under a 5. Subtract the total costs expensed across both years (requirement (4) from the total sales revenue across both years [requirement 1-5 above, select which of the following statements (is) are true by selecting an "X What was the total sales following two amounts on each income statement Cost of goods sold . Fixed cost (expensed as a period expense 2 What was Lehighton's total operating 3. What was the total sales revenue across both years under absorption 4. What was the total of all costs expensed income across both years under absorption costing and under variable costing? on the operating income statements across both years under absorption costing and unde 5. Subtract the total costs expensed across both years [requirement (4)] from the total sales revenue across both years [requirement (3)): (a) under absorption costing and (b) under variable costing. 1-5 above, select which of the following statements (is) are true by selecting an "X following two amounts on each income statement . Cost of goods sold . Fixed cost (expensed as a period expense) 4. What was the total of all costs expensed on the operating income statements across both years under absorption costing and under 5. Subtract the total costs expensed across both years [requirement (4)] from the total sales revenue across both years [requirement n requirements 1-5 above, select which of the following statements (is) are true by selecting an "X (3)]1 (a) under absorption costing and (b) under variable costing. Cost of goods sold Fixed cost (expensed as a period expense) 3. What was the total sales revenue across both years under absorption costing and under 4. What was the total of all costs expensed on the operating income statements across both years under absorption costing and under 5. Subtract the total costs expensed across both years (requirement (4)] from the total sales revenue across both years [requirement (3)): (a) under absorption costing and (b) under variable costing. 5 Required 6 the r (is) are true by an "x* on the