Question 3 of 3 0.37/1 ELI View Policies Show Attempt History Current Attempt in Progress Jackson Company produces plastic that is used for injection molding applications such as gears for small motors, In 2016, the first year of operations, Jackson produced 6,000 tons of plastic and sold 4.500 tons. In 2017 the production and sales results were exactly reversed. In each year, the selling price per ton was $2,000, variable manufacturing costs were 19% of the sales price of units produced, variable selling expenses were 8% of the selling price of units sold, foed manufacturing costs were $4,380,000, and fixed administrative expenses were $540,000. Your answer is partially correct. Prepare income statements for each year using variable costing JACKSON COMPANY Income Statement For the Year Ended December 31, 2016 Variable Costing Sales Variable Cost of Goods Sold Inventory, January 1 Variable costs of Goods Manufactured Variable costs of Goods Available for Sale Inventory, December 31 Variable Cost of Goods Sold Variable Selling Expenses Contribution Mario Fixed Manufacturing Overhead V Fixed Administrative Expenses Net Income/ttoss) $ JACKSON COMPANY Income Statement For the Year Ended December 31, 2017 Variable Costing Sales $ Variable Cost of Goods Sold Inventory, January 1 Variable costs of Goods Manufactured Variable costs of Goods Available for Sale Inventory, December 31 Variable Cost of Goods Sold Variable Selling Expenses Contribution Margin Fixed Manufacturing Overhead Fixed Administrative Expenses Net Income/(Loss) e Textbook and Media Prepare income statements for each year using absorption costing JACKSON COMPANY Income Statement For the Year Ended December 31, 2016 Absorption Costing Sales $ Cost of Goods Sold Inventory, January 1 $ Costs of Goods Manufactured Costs of Goods Available for Sale Inventory, December 31 Cost of Goods Sold Gross Profit Variable Selling Expenses Fixed Administrative Expenses TI Net Income/(Loss) JACKSON COMPANY Income Statement For the Year Ended December 31, 2017 Absorption Costing Sales $ Cost of Goods Sold Inventory, January 1 Costs of Goods Manufactured Costs of Goods Available for Sale Inventory, December 31 Cost of Goods Sold = Gross Profit Variable Selling Expenses