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Bianca Bicycle Company manufactures mountain bikes with a variable cost of $1,600. The bicycles sell for $2,350 each. Budgeted fixed manufacturing overhead for the most recent year was $11,600,000. Planned and actual production for the year were the same. Required: State whether income is higher under variable or absorption costing and the amount of the difference in reported opearting income under the two methods. Treat each condition as an independent case. (Round intermediate calculations to 2 decimal places.) 1. Production 22,600 units Sales 26,200 units 2. Production 11,800 units Sales 11,800 units 3. Production 11,900 units Sales 10,100 units . ariable costing 2. Same under both . Absorption costing