Required information The following information applies to the questions displayed below) Aces Incorporated, a manufacturer of tennis rackets, began operations this year. The company produced 7,950 rackets and sold 5.880. Each racket was sold at a price of $90. Fixed overhead costs are $103,350 per year, and fixed selling and administrative costs are $69,200 per year. The company also reports the following per unit variable costs for the year. Direct materials $ 12 Direct labor Variable overhead Variable selling and administrative expenses 8 5 2 Prepare an income statement under variable costing. ACES INCORPORATED Income Statement (Variable Costing) Compute the cost of ending finished goods inventory reported on the balance sheet using variable costing. Finished goods inventory under variable costing Product cost per unit $ 0 Finished goods inventory reported on balance sheet Prepare an income statement under absorption costing. ACES INCORPORATED Income Statement (Absorption Costing)