Pls! Estimated Income Statements, using Absorption and Variable Costing

Estinated Income Statements, using Abvorption and Vaciobile Costing Prior to the first month of operatons ending October 31 , Marstull inc estumated the following operating results: change soles, unit vanable factory overhead costs, total fred foctory overhead cost, or torai selling and adninistrave eapenses. a. 2. Prepare an estimated income statement, comparing operating results if 27,200 and 30,400 units are manufactured in the vanable costing format, If an amount boce does noc require an entry feave it blank. b. What is the reason for the difference in operating income reported for the two levels of production by the ahsorption costing income atoternent? The increase in income from operations unfer absorption costing is caused by the allocation of Thus, the cost of goods sold is The difference can also be explained by the amount of overhead cont over a number of units. inventory. overhend cont inchuled in the a. 1. Prepsere in estmated income statement, comparing operating results if 27,200 and 30,400 units are manulactured in the absorption costing format. 4 an amount boc does nat require an entry leave it blank Marshall Inc. Absorption Costing Income Statement For the Month Ending October 31 27,200 Units Manufactured 30,400 Units Manufactured