Levinson Company produces and sells a single product: a laptop computer. The following refer to the year just completed:

Question 1 (30): Levinson Company produces and sells a single product: a laptop computer. The following refer to the year just completed: Beginning inventory $0 Units produced 4,600 Units sold 3,600 Sales price per unit $700 Selling and administrative expenses: Variable per unit $20 Fixed (total) $45,000 Manufacturing costs: Direct materials cost per unit $380 Direct labour cost per unit $80 Variable overhead cost per unit $50 Fixed overhead (total) $50,000 Assume that direct labour and materials are variable costs. Required: (a) Compute the unit product cost using absorption costing and variable costing method. Absorption Variable Costing Costing (b) Prepare a combined income statement for the year using absorption costing and variable costing method. Absorption Variable Costing Costing