Mange Inc initiated operations on October 1, 2019. During the first fiscal year of operations, the company produced 100,000 units and sold 80,000 units. The absorption costing income statement for the year ended September 30, 2020 is as follows. 53,600,000 Sales (80,000 units * $45 per unit) Cost of goods sold Beginning inventory Cost of goods manufactured (100,000 units * $25 per unit) Cost of goods available for sale Ending inventory (20,000 * $25) Cost of goods sold Gross margin Selling and administrative expenses Net Income $ 0 2,500,000 2,500,000 500,000 2,000,000 1,600,000 530,000 $1,070,000 Additional Information a. Selling and administrative expenses consist of $350,000 in annual fixed expenses and $2.25 per unit in variable selling and administrative expenses. b. The company's product cost of $25 per unit is computed as follows. Direct materials Direct labor Variable overhead Fixed overhead ($800,000 / 100,000 units) $5 per unit $10 per unit $ 2 per unit $ & per unit Required: 1. Prepare an income statement for the company under variable costing, 2. Fill in the blanks Complete this question by entering your answers in the tabs below. Required 1 Required 2 Prepare an income statement for the company under variable costing. Mange Inc Variable Costing Income Statement Sales Less: Cost of goods sold $ 3,600,000 Fixed overhead Fixed selling and administrative costs Fixed selling and administrative costs Net income (loss) $ 910,000