QS 19-4 Absorption costing income statement LO P2 Aces Inc., a manufacturer of tennis rackets, began operations this year. The company produced 6,300 rackets and sold 5,200. Each racket was sold at a price of $93. Fixed overhead costs are $83,790 and fixed selling and administrative costs are $65,500. The company also reports the following per unit variable costs for the year: Variable product costs Variable selling and administrative expenses $25.30 $ 2.30 Prepare an income statement under absorption costing Answer is not complete ACES INC. Absorption Costing Income Statement Sales Less: Cost of goods sold Fixed overhead costs Variable production costs Cost of goods sold Gross margin Selling general and administrative expenses Fixed selling and administrative costs 65,500 Total Selling general and administrative expenses Net income (loss) 65,500