On October 31, the end of the first month of operations, Morristown & Co. prepared the following income statement based on absorption costing:

Morristown & Co.
Absorption Costing Income Statement
For the Month Ended October 31
Sales (2,600 units)				$117,000
Cost of goods sold:
Cost of goods manufactured		$85,500
Ending inventory (400 units)		(11,400)
Total cost of goods sold				(74,100)
Gross profit				$42,900
Selling and administrative expenses				(21,500)
Operating income				$21,400

On October 31, the end of the first month of aperations, Morristown & Co. prepared the following income statement based on absorption costing: Morristown & Co. $117,000 Absorption Costing Income Statement For the Month Ended October 31 Sales (2,600 units) Cost of goods sold: Cost of goods manufactured $85,500 Ending Inventory (400 units) (11,400) Total cost of goods sold Gross profit Selling and administrative expenses Operating income THE (74,100) $42,900 (21,500) $21,400 If the fixed manufacturing costs were $ 42,900 and the variable selling and administrative expenses were $14,600, prepare an income statement using variable costing, Morristown & Co. Variable Costing Income Statement For the Month Ended October 31 $ Variable cost of goods sold: LO ju dhid Fixed costs 00 Operating income