Required information [The following information applies to the questions displayed below.] Oak Mart, a producer of solid oak tables, reports the following data from its second year of business. Sales price per unit Units produced this year Units sold this year Units in beginning-year inventory Beginning inventory costs Variable (3,000 units x $130) Fixed (3,000 units x $75) Total Manufacturing costs this year Direct materials Direct labor Overhead costs this year Variable overhead Fixed overhead Selling and administrative costs this year Variable Fixed 310 per unit 115,000 units 118,000 units 3,000 units $ 390,000 225,000 $ 615,000 $ 48 per unit $ 66 per unit $3,200,000 $7,400,000 $1,350,000 4,600,000 1. Prepare the current-year income statement for the company using variable costing. Sales Less: Variable costs Beginning inventory: Variable costs OAK MART COMPANY Variable Costing Income Statement $ 36,580,000 Manufacturing costs this year 390,000 Direct materials Direct labor Variable overhead costs Total variable costs available Less: Ending finished goods inventory 5,520,000 7,590,000 3,200,000 16,700,000 0 Variable cost of goods sold Variable selling and administrative expenses 1,350,000 Total variable costs Contribution margin Less: Fixed expenses Fixed selling and administrative costs 4,600,000 Fixed overhead costs 7,400,000 Total fixed expenses Net income (loss) 1,350,000 12,000,000