Ottawa Co. planned and actually manufactured 200,000 units in 2021, its first year of operation. Variable manufacturing cost was $20 per unit produced. Variable S&A expense was $10 per unit sold. Planned and actual fixed manufacturing costs were $600,000. Fixed S&A cost was $400,000. 120,000 units were sold at $40 per unit.

1. Prepare a variable costing statement. SHOW ALL COMPUTATIONS.
2. Compute BE in units and dollars. SHOW ALL COMPUTATIONS.