Richmond Company manufactures a product with the following information available for the years 20X0 and 20X1. The company had no inventory at the beginning of 200. The standard costs per unit to manufacture one unit for both years are provided helow. Fixed selling and administrative costs were $220,000 All variances are charged or credited to cost of goods sold. The fixed manufacturing overhead cost per unit is based on a normal capacity of 30,000 units REQUIRED: (1) Using the attached forms, prepare income statements, in appropriate form. using full absorption costing for years 200 and 20X1. Using the attached forms, prepare income statements, in appropriate form. using variable costing for years 20X0 and 20X1. RICHMOND COMPANY INFORMATION CONCERNING SALES AND PRODUCTION OF ITS PRODUCT FOR YEARS 20X0 AND 20X1 20XO 20X1 Selling Price Per Unit $ 200.00 200.00 Number of Units Produced 30,000 25.000 Number of Units Sold 25,000 22.000 RICHMOND COMPANY STANDARD MANUFACTURING AND OPERATING COSTS PER UNIT FOR ONE UNIT OF OUTPUT Direct Material 5 25.00 Direct Labor 70.00 Variable Manufacturing Overhead 15.00 Fixed Manufacturing Overhead 25.00 Variable Selling Commissions 20.00 RICHMOND COMPANY INCOME STATEMENT--FULL ABSORPTION COSTING FOR YEARS 20XO AND 20X1 20X0 Sales Revenue Cost of Goods Sold: 20X1 Cost of Goods Available For Sale Cost of Goods Sold--Unadjusted Under-or (Over)applied Manufacturing Overhead Cost of Goods Sold--Adjusted Gross Margin From Sales Operating Expenses: Total Operating Expenses Operating Income (1) RICHMOND COMPANY INCOME STATEMENT--FULL ABSORPTION COSTING FOR YEARS 20XO AND 20X1 20X0 Sales Revenue Cost of Goods Sold: 20X1 Cost of Goods Available For Sale Cost of Goods Sold--Unadjusted Under-or (Over)applied Manufacturing Overhead Cost of Goods Sold--Adjusted Gross Margin From Sales Operating Expenses: Total Operating Expenses Operating Income