Lynch Company manufactures and sells a single product. The following costs were incurred during the company's first year of operations: Variable costs per unit: Manufacturing: Direct materials $ 11 Direct labor $ 3 Variable manufacturing overhead $1 Variable selling and administrative $1 Fixed costs per year: Fixed manufacturing overhead $ 330,000 Fixed selling and administrative $ 240,000 During the year, the company produced 30,000 units and sold 23,000 units. The selling price of the company's product is $43 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