Required information [The following information applies to the questions displayed below] Barnes Company reports the following for its product for its first year of operations. Direct materials Direct labor Variable overhead Fixed overhead Variable selling and administrative expenses Fixed selling and administrative expenses $ 36 per unit $26 per unit $12 per unit $ 54,000 per year. $2 per unit $ 21,000 per year The company sells its product for $160 per unit. Compute contribution margin using variable costing assuming the company (a) produces and sells 2,000 units and (b) produces 2,700 units and sells 2,000 units. Answer is not complete. Contribution margin using variable costing (a) 2,000 Units Produced and 2,000 Units Sold Sales Variable expenses 320,000 $ (b) 2,700 Units Produced and 2,000 Units Sold 320,000 Variable cost of goods sold Variable selling and administrative expenses Contribution margin 168,000 168,000