Question 3 of 8 0.67/1 E The following table shows the inventory balances, in units, for years 1, 2, and 3. Total fixed manufacturing costs were $60,000 for each of the last five years. The units in Year 1 beginning inventory were based on production of 600 units. Year 1 2 3 Beginning inventory 150 0 250 Production 600 750 750 Sales (750) (500) (750) Ending inventory 0 250 250 For each year, calculate the difference between absorption costing and variable costing operating income. Indicate which costing system has the higher net income. 1 Difference in operating income $ Costing system that has Variable Costing higher net income eTextbook and Media $ Year 2 Absorption Costing Neither 3