[Question]

Haas Company manufactures and sells one product. The following information pertains to each of the company's first three years of operations:

[see image 'main']

During its first year of operations, Haas produced 60,000 units and sold 60,000 units. During its second year of operations, it produced 75,000 units and sold 50,000 units. In its third year, Haas produced 40,000 units and sold 65,000 units. The selling price of the company's product is $62 per unit.

Required:

1. Compute the company's break-even point in unit sales.

2. Assume the company uses variable costing:

a. Compute the unit product cost for Year 1, Year 2, and Year 3.

b. Prepare income statement for Year 1, Year 2, and Year 3.

3. Assume the company uses absorption costing:

a. Compute the unit product cost for Year 1, Year 2, and Year 3.

b. Prepare income statement for Year 1, Year 2, and Year 3.

Complete question by entering your answers in the tabs below.

[see image 'req1-req3B']

??

Haas Company manufactures and sells one product. The following information pertains to each of the company's first three years of operations: Variable costs per unit: Manufacturing: Direct materials 5 25 Direct labor 5 18 Variable manufacturing overhead 5 5 Variable selling and administrative 5 3 Fixed costs per year: Fixed manufacturing overhead 5 396,860 Fixed selling and administrative expenses 5 158,000 During its first year of operations, Haas produced 60,000 units and sold 60,000 units. During its second year of operations, it produced 75,000 units and sold 50,000 units. In its third year, Haas produced 40,000 units and sold 65,000 units. The selling price of the company's product is $62 per unit. Required: 1. Compute the company's brea k-eyen point in unit sales. 2- Assume the company uses variable costing: a. Compute the unit product cost for Year 1, Year 2 and Year 3. b. Prepare an income statement for Year 1, Year 2, and Year 3. 3. Assume the company uses absorption costing: a. Compute the unit product cost for Year 1, Year Z and Year 3. b. Prepare an income statement for Year 1, Year 2, and Year 3. Complete this question by entering your answers in the labs below. \fCompute the unit product cost for Year 1,r Year 2, and Year 3. Assume the 4:1:2Impualln'lllr uses variable casting. Req 1 Req 2A Req 2B Reg 3A Reg 3B Prepare an income statement for Year 1, Year 2, and Year 3. Assume the company uses variable costing. Haas Company Variable Costing Income Statement Year 1 Year 2 Year 3 Net operating income (loss)Compute the unit product cost for Year 1.r Year 2, and Year 3. Assume the company uses absorption cosng. {Round your intermediate calculations and nal answers to 2 decimal places.)