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 month ended October 31, 20-

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Sales (2,600 unts) $117,000

Cost of goods sold:

Cost of goods manufactured $85,500

Less ending inventory (400 units) 11,400

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Cost of goods sold 74,100

Gross profit $42,900

Sellig and administrtive expenses 21,500

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Income from operations $ 21,400

If the fix manufaturing cost were $ 42,900 and the variable selling and administrative expenses were $ 14,600 prepare an income statement using vriable costing.