Rey Company's single product sells at a price of $230 per unit. Data for its single product for its first year of operations follow. Direct materials Direct labor Overhead costs Variable overhead Fixed overhead per year Selling and administrative expenses Variable Fixed Units produced and sold 34 per unit 42 per unit $ 10 per unit $ 318,000 per year $ 32 per unit $ 228,000 per year 26,500 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 absorption costing. REY COMPANY Absorption Costing Income Statement Sales $ 6,095,000 Required 1 Required 2 Prepare an income statement for the year using absorption costing. $ 6,095,000 REY COMPANY Absorption Costing Income Statement Sales Less: Cost of goods sold Direct materials $ 901,000 Direct labor 1,113,000 Variable overhead costs 265,000 Fixed overhead costs 318,000 os Gross margin 2,597,000 3.498,000 Variable selling and administrative expenses Fixed selling and administrative costs 848,000 228,000 Total selling, general and administrative expenses Net income (loss) 1,076,000 $ 2.422.000 (Required Required 2 > Required 1 Required 2 Prepare an income statement for the year using variable costing.. REY COMPANY Variable Costing Income Statement 0 0 Net income (loss)