Rey Company's only product sells for $$217$ per unit. Data for its first year of operations follow.

Direct materials

Direct labor

Variable overhead

Fixed overhead

$ $21$ per unit

Variable selling and administrative expenses

Fixed selling and administrative expenses

$$29$ per unit

$$7$ per unit

Units produced and sold

$$19$ per unit

$$202,000$ per year

$21,000$ units

Prepare an income statement for the year using absorption costing

Prepare an income statement for the year using variable costing.

Complete this qu$$stion by entering your answers in the tabs below.

Required $1$

Required $2$

Prepare an income statement for the year using variable costing.

$\backslash$table$[[$REY COMPANY$],[$Income Statement $($Variable Costing$),],[$Sales$,,],[$Plus: Variable expenses,,$],[$Direct materials,$$4,557,000,],[$Direct labor,$441,000,],[$Variable cost of goods sold,$609,000,],[,147,000,],[$Plus: Fixed expenses,,$],[$Variable cost of goods sold,,$]]$