Prepare an income statement that includes variances for the 2020 calendar year-end for Bright Light using the information shown and the direct labor variances. The company sold all goods produced during the period at a selling price of $75 each.

Standard costs per unit:

Direct materials $ 10.00

Fixed factory overhead 6.50

Variable factory overhead 4.50

Direct labor 9.00

Total $ 30.00

Variances:

Direct materials price $(1,900)

Direct materials quantity $2,750

Factory overhead controllable $6,700

Factory overhead volume $(2,100)

Selling expenses $23,500

Administrative expenses $27,900