Rey Company's only product sells for $217 per unit. Data for its first year of operations follow. Direct materials $ 21 per unit Direct labor $ 29 per unit Variable overhead $ 7 per unit Fixed overhead $ 189, 000 per year Variable selling and administrative expenses $ 19 per unit Fixed selling and administrative expenses $ 202, 000 per year Units produced and sold 21, 000 units 1. Prepare an income statement for the year using absorption costing 2. Prepare an income statement for the year using variable costing. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Prepare an income statement for the year using variable costing. REY COMPANY Income Statement (Variable Costing) Sales Plus: Variable expenses Variable selling and administrative expenses 0 Income Required 1 Required 2 Prepare an income statement for the year using absorption costing. REY COMPANY Income Statement (Absorption Costing) Sales $ 4,557,000 Cost of goods sold 441,000 Gross profit 4,116,000 Selling and administrative expenses Income $ 4,116,000