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please answer all parts with work for all months! mimmarized as tolows: listinticena Requiredt 1. Using the absorption costing concopt, prepare income statements for (a)

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mimmarized as tolows: listinticena Requiredt 1. Using the absorption costing concopt, prepare income statements for (a) May and (b) June. 2. Using the varlabio costing concopt, prepare income statoments for (a) May and (b) June. 3a. Explain the reason for the differences in operating income in (1) and (2) for May. 3b. Explain the reason for the oitferences in operating income in (1) and (2) for June. 4. Based on your answers to (1) and (2), did Big Sky Creations Company operate more profitably in May or in June? Explain. Absorption Costing intorne bitelntinentaliy Big Sky Creations Compary Absorption Costing income Statement (Label) 1 2. (Label) 1 5 7 s Asibspition costine Incesme Stationent Wure: Big Sky Crentions Company Absorption Costing hnoome Statoment (Labol) (Label) Variable Costing Income Statement-May Big Sky Creations Company Variable Costing Income Statement (Label) 1 2 (Label) 3: 4 5 7 3a. Explain fhe reason for the diferences in operating income in (1) and (2) for May. For May, Opernting inoome roported under oosting exceeda that reportod under costhg due to part of manufacturing costs that are expensod on the = coating inoome staicment, but not on the costing insome statement. so. Exiain the roason for the diforences it operating income in (i) and (2) for Juret. For sune, Operafing income reported under oosting is less than that repertad unded costine due te part of mandacturing costs trom May that are axpened on the costing inceme stalemen, but nat on the. costng inceche statament. E Eased an your answers to (1) and (2), did Big Siyy Creations Company operate move pentlably in May or in June Expiain. Gig Siky Creations Company was under the variable costing concept. The dilerence in cporating income reportod under the absorption costing concept is aue is alocating

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