Parry Manufacturing Company makes a product that sells for $74.30 per unit. Manufacturing costs for the product amount to $26.70 per unit variable, and $87,360 fixed. During the current accounting period, Parry made 4,200 units of the product and sold 3,600 units. Selling and administrative expenses were zero.

Required:

a.

Prepare an absorption costing income statement.

PARRY MANUFACTURING COMPANY
Absorption Costing Income Statement
	0
	$0

b.

Prepare a variable costing income statement.

PARRY MANUFACTURING COMPANY
Variable Costing Income Statement
	0
	$0