Obj. 1 EX 20-2 Income statements under absorption costing and variable costing Shawnee Motors Inc. assembles and sells snowmobile engines. The company began opertions on August i and operted at 100% of capacity during the first month. The following data summarize the results for August $600,000 Production costs (2,400 units): $300,000 115,200 43,200 21,600 480,000 Selling and administrative expenses: Variable selling and administrative expenses... Fixed selling and administrative expenses $50,000 22,000 72,000 the absorption costing concept. A. Prepare an income statement according to B. Prepare an income statement according to the variable costing co What is the reason for the difference in the amount of income from operations reported in (A) and (B)