Owen's Foods produces frozen meals, which it sells for $10 each. The company uses the FIFO inventory costing method, and it computes a new monthly fixed manufacturing overhead rate based on the actual of meals produced that month. Al costs and production levels are exactly as planned. The following data are from the company's first two months in business: (Click the icon to view the data.) Requirements 1. Compute the product cost per meal produced under absorption costing and under variable costing. Do this first for January and then for February 2. Prepare separate monthly income statements for January and for February, using the following a. Absorption costing b. Variable costing 3. Is operating income higher under absorption cosing or variable costing in January? in February? Explain the pattern of differences in operating income based on absorpion costing versus variable costing. Income Statement (Absorption Costing) 1 Data Table Month Ended January February 1.600 meals 2.000 meals 1.000 meals 1,600 meals Production.. Variable manufacturing expense per meal Sales commission expense per meal Total food manufacturing overhead Total food marketing and administrative expenses Requirement 2b. Prepare Owen's Foods January and February income statemen $ $ $ 1 800 600 S $ S 1 800 600 Owen's Foods Choose from any list or enter any number in the input fields and then continue espetang come based on absorption costing versus vanable Owen's Foods Contribution Margin Income Statement (Variable Costing) Month Ended January 31 February 28 Data Table Sales.... Production Variable manufacturing expense per meal Sales commission expense per me Total fxed manufacturing overhead Tot feed marketing and administrative expenses January February 1.600 meals 1.800 m l 2,000 meals 1600 meals $ 55 $ ...$ S 800 600 800 600 Choose from any list or enter any number in the input fields and then continue to the next qui Print Done AsoFHK x BNIM