Royal Lawncare Company produces and sells two packaged productsWeedban and Greengrow. Revenue and cost information relating to the products follow: Selling price per unit Variable expenses per unit Traceable fixed expenses per year Product Weedban Greengrow $ 12.00 $ 38.00 $ 2.90 $ 10.00 $ 134,000 $ 31,000 Last year the company produced and sold 41,500 units of Weedban and 23,000 units of Greengrow. Its annual common fixed expenses are $107,000. Required: Prepare a contribution format income statement segmented by product lines. Product Line Total Company Weedban Greengrow Sales Variable expenses 0 0 0 Contribution margin Traceable fixed expenses Product line segment margin Common fixed expenses not traceable to products Net operating income 0 $ 0 0 $ 0 Whitman Company has just completed its first year of operations. The company's absorption costing income statement for the year follows: Whitman Company Income Statement Sales (41,000 units * $43.60 per unit) Cost of goods sold (41,000 units * $22 per unit) Gross margin Selling and administrative expenses Net operating income $ 1,787,600 902,000 885,600 430,500 $ 455,100 The company's selling and administrative expenses consist of $307,500 per year in fixed expenses and $3 per unit sold in variable expenses. The $22 unit product cost given above is computed as follows: $ 11 4 Direct materials Direct labor Variable manufacturing overhead Fixed manufacturing overhead ($255,000 - 51,000 units) Absorption costing unit product cost 2 5 $ 22 Required: 1. Redo the company's income statement in the contribution format using variable costing. 2. Reconcile any difference between the net operating income on your variable costing income statement and the net operating income on the absorption costing income statement above. Required 1 Required 2 Redo the company's income statement in the contribution format using variable costing. Whitman Company Variable Costing Income Statement 0 0 0 $ 0 Complete this question by entering your answers in the tabs below. Required 1 Required 2 Reconcile any difference between the net operating income on your variable costing income statement and the net operating income on the absorption costing income statement above. (Enter any losses or deductions as a negative value.) Reconciliation of Variable Costing and Absorption Costing Net Operating Incomes Variable costing net operating income Absorption costing net operating income