Sarah Stoner selis handmade jewelry that she designs herself. The items aren't expensive, and she has a loyal following in her town and the surrounding area. Sarah incurred the following unit costs to produce 60,000 items Sarah began the year with no inventory. During the year, she sold 50,000 items for $15 each, incurring $1.25 in 5 elling costs per item plus $8,000 in advertising and other selling expenses. (a) Under variable costing, what is Sarah's operating income? Operating income (b) Under absorption costing, what is Sarahis ending Finished Goods Inventory balance? Ending Finished Goods Inventory balance