Rey Company's single product sells at a price of $216 per unit. Data for its single product for its first year of operations follow. 20 per unit 28 per unit Direct materials $ Direct labor $ Overhead costs Variable overhead $ 6 per unit Fixed overhead per year $ 160,000 per year Selling and administrative expenses 18 per unit $ 200,000 per year 20,000 units Variable $ Fixed Units produced and sold 1. Prepare an income statement for the year using absorption costing 2. Prepare an income statement for the year using variable costing. REY COMPANY Absorption Costing Income Statement $ 4,320,000 Sales Less: Cost of goods sold Direct materials Net income (loss) REY COMPANY Variable Costing Income Statement 10 Net income (loss)