Packer Company, which has only one product, has provided the following data concerning its most recent month of operations:

Selling price	$	113
Units in beginning inventory		860
Units produced		2,290
Units sold		2,770
Units in ending inventory		380
Variable costs per unit:
Direct materials	$	25
Direct labor	$	18
Variable manufacturing overhead	$	2
Variable selling and administrative	$	21
Fixed costs:
Fixed manufacturing overhead	$	66,410
Fixed selling and administrative	$	5,540

The company produces the same number of units every month, although the sales in units vary from month to month. The company's variable costs per unit and total fixed costs have been constant from month to month. (Hint: Use the reconciliation method.)

Required:

a.	What is the unit product cost for the month under variable costing? (Omit the "$" sign in your response.)

	Cost per unit
Variable costing	$

b.	Prepare a contribution format income statement for the month using variable costing. (Input all amounts as positive values except losses which should be indicated by a minus sign. Omit the "$" sign in your response.)

Variable Costing Income Statement
(Click to select) Selling and administrative expenses Variable cost of goods sold Manufacturing overhead Net operating income (loss) Contribution margin Sales Variable selling and administrative expenses		$
Variable expenses:
(Click to select) Contribution margin Sales Variable selling and administrative expenses Variable cost of goods sold Manufacturing overhead Net operating income	$
(Click to select) Sales Contribution margin Net operating income Variable selling and administrative expenses Manufacturing overhead Variable cost of goods sold
(Click to select) Contribution margin Sales Variable cost of goods sold Variable selling and administrative expenses Net operating income (loss) Manufacturing overhead
Fixed expenses:
(Click to select) Fixed selling and administrative expenses Variable cost of goods sold Sales Contribution margin Variable selling and administrative expenses Fixed manufacturing overhead Net operating income
(Click to select) Sales Fixed manufacturing overhead Variable selling and administrative expenses Fixed selling and administrative expenses Contribution margin Variable cost of goods sold Net operating income
(Click to select) Variable selling and administrative expenses Manufacturing overhead Contribution margin Selling and administrative expenses Variable cost of goods sold Sales Net operating income (loss)		$

c.	Without preparing an income statement, determine the absorption costing net operating income for the month. (Omit the "$" sign in your response.)

Reconciliation of Variable Costing and Absorption Costing Net Operating Incomes
Variable costing net operating income	$
(Click to select) Deduct Add : (Click to select) Fixed manufacturing overhead costs deferred in inventory under absorption costing Fixed manufacturing overhead costs released from inventory under absorption costing
Absorption costing net operating income	$