production levels are exactly as planned. The following data are from Rosetta's Foods's first month in business:

$($Click the icon to view the data.$)$

Read the requirements.

Requirements

Compute the product cost per meal produced under absorption costing and

under variable costing.

Prepare income statements for January using:

a$.$ absorption costing.

b$.$ variable costing.

Total product cost per meal

Is operating income higher under absorption costing or variable costing in

January?

Requirement $2$a$.$ Prepare Rosetta's Foods's January income statement using absorption costing.

Rosetta's Foods

Data table

Requirement $2$b$.$ Prepare Rosetta's Foods's January income statement using variable costing.

Requirement $3.$ Is operating income higher under absorption costing or variable costing in January?

In January, absorption costing operating income

variable costing operating income.