Lynch Company manufactures and sells a single product. The following costs were incurred during operations: the company's first year of Variable costs per unit: Manufacturing: $ 12 Direct materials Direct labor Variable manufacturing overhead Variable selling and administrative Fixed costs per year: Fixed manufacturing overhead Fixed selling and administrative expenses $270,e8e $360,000 company produced 36.000 units and sold 18,000 units. The selling price of the company's product is $55 per unit. Required: 1. Assume that the company uses absorption costing: a. Compute the unit product cost b. Prepare an income statement for the year 2. Assume that the company uses variable costing a Compute the unit product cost b. Prepare an income statement for the year