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Aces Incorporated, a manufacturer of tennis rackets, began operations this year. The company produced $6,150$ rackets and sold $4,980.$ Each racket was sold at a price of $$90.$ Fixed overhead costs are $$79,950$ per year, and fixed selling and administrative costs are $$65,600$ per year. The company also reports the following per unit variable costs for the year.

Direct materials $ $12$

Direct labor $8$

Variable overhead $5$

Variable selling and administrative expenses $2$Prepare an Income statement under absorption costing.

Prepare an income statement under absorption costing.