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Part 1

VJ

Toys started

2020

with no inventories. During the year, their expected and actual production was

25,000

units, of which they sold

15,000

units at

$100

each. Cost data for the year is as follows:

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(Click the icon to view the cost data.)Calculate

VJ

Toys' operating income under (1) variable costing, and (2) absorption costing. Explain why operating income differs under the two approaches.

VJ Toys started 2020 with no inventories. During the year, their expected and actual production was 25,000 units, of which they sold 15,000 units at $100 each. Cost data for the year is as follows: (Click the icon to view the cost data.) Calculate VJ Toys' operating income under (1) variable costing, and (2) absorption costing. Explain why operating income differs under the two approaches. Data table ot used in the table, leave VJ Toys started 2020 with no inventories. During the year, their expected and actual production was 25,000 units, of which they sold 15,000 units at $100 each. Cost data for the year is as follows: (Click the icon to view the cost data.) Calculate VJ Toys' operating income under (1) variable costing, and (2) absorption costing. Explain why operating income differs under the two approaches. Begin by calculating VJ Toys' operating income under (1) variable costing. (If an input field is not used in the table, leav the input field empty; do not select a label or enter a zero.)