Marty's Entrees produces frozen meals, which it sells for $8 each. The company uses the FIFO inventory costing method, and it computes a new monthly fixed manufacturing overhead rate based on the actual number of meals produced that month. All costs and production levels are exactly as planned. The following data are from the company's first two months in business: Requirement 1. Compute the product cost per meal produced under absorption costing and under variable costing. Do this first for January and then for February. Total product cost January February Absorption costing Variable costing Absorption Variable costing costing Data table Requirement 2a. Prepare separate monthly income statements for January and for February, using abs Sales.. Less: Less: Marty's Entrees Income Statement (Absorption Costing) Month Ended January 31 February 28 Requirement 2b. Prepare Marty's Entrees' January and February income statements using variable costing. Marty's Entrees January February 1,400 meals Production.. 2,000 meals 1,800 meals 1,400 meals Variable manufacturing expense per meal. Sales commission expense per meal. $5 $5 $1 $1 Total fixed manufacturing overhead. $700 $700 Total fixed marketing and administrative expenses.. $600 $600 Print Done Requirement 2b. Prepare Marty's Entrees' January and February income statements using variable costing. Marty's Entrees Contribution Margin Income Statement (Variable Costing) Less: Less: Month Ended January 31 February 28 9