Potter Corporation produces one product. Its costs include direct materials of dollar 3 per unit; direct labor of dollar 15 per unit; variable overhead of dollar7 per unit; fixed overhead of dollar 80, 000 per period; variable selling costs of dollar 2 per unit and fixed selling and administrative costs of dollar 25,000 per period. The selling price is dollar 60 per unit. REQUIRED: Prepare an absorption costing (traditional) income statement and a variable costing assuming: Production is 8,000 units and sales are 8,000 units Production is 8,000 units and sales are 7,000 units Production is 8,000 units and sales are 10, 000 units Explain any difference in the net incomes for each case