Please complete a Variable Costing Income Statement and a Absorption Costing Income Statement for the information below:

The Purse Company

Beginning Inventory: 0 Purses

Production: 80,000 Purses

Sales: 60,000 Purses

Ending Inventory: 20,000 Purses

Direct Materials: $3.00

Direct Labor: $1.50

Variable Manufacturing Overhead: $0.40

Variable Selling Expenses: $1.10

Absorption Costing Income Statement Absorption Costing Income Statement