Nelter Corporation, which has only one product, has provided the following data concerning its most recent month of operations: $ 125 450 6,180 6,300 330 Selling price Units in beginning inventory Units produced Units sold Units in ending inventory Variable costs per unit. Direct materials Direct labor Variable manufacturing overhead Variable selling and administrative expense Fixed costs: Fixed manufacturing overhead Fixed selling and administrative expense $ $ $ $ 22 3 19 $117,420 $ 94,500 The company produces the same number of units every month, although the sales in units vary from month to month. The company's variable costs per unit and total fixed costs have been constant from month to month. Required: a. Prepare a contribution format income statement for the month using variable costing. b. Prepare an income statement for the month using absorption costing. Complete this question by entering your answers in the tabs below. Required A Required B Prepare a contribution format income statement for the month using variable costing. Variable Costing Income Statement Sales $ 787,500 Variable expenses Variable cost of goods sold Variable selling and administrative expenses 0 787,500 Contribution margin Fixed expenses: Fixed manufacturing overhead Fixed selling and administrative expenses 0 787.500 Net operating income Required A Required B > Nelter Corporation, which has only one product, has provided the following data concerning its most recent month of operations: 125 450 6,180 6,300 330 Selling price Units in beginning inventory Units produced Units sold Units in ending inventory Variable costs per unit: Direct materials Direct labor Variable manufacturing overhead Variable selling and administrative expense Fixed costs Fixed manufacturing overhead Fixed selling and administrative expense 46 22 $ $ $ $ 19 $117,420 $ 94,500 The company produces the same number of units every month, although the sales in units vary from month to month. The company's variable costs per unit and total fixed costs have been constant from month to month. Required: a. Prepare a contribution format income statement for the month using variable costing. b. Prepare an income statement for the month using absorption costing. Complete this question by entering your answers in the tabs below. Required A Required B Prepare an income statement for the month using absorption costing. Absorption Costing Income Statement Sales $ 787.500 Cost of goods sold 567.000 Gross margin 220.500 Selling and administrative expenses 214,200 Net operating income 6,300