SECTION 3 - PROBLEM - 20 marks 2 Tanner Ltd produces only one product and has provided the following data concerning its most recent month of 4 operations ending December 31, 2020: 5 6 Selling price $108.00 Z Units in beginning inventory 0 8 Units produced 1100 9 Units sold 900 10 Units in ending inventory 200 11 Variable costs per unit: 12 Direct materials $2800 13 Direct labou $30.00 14 Variable manufacturing overhead $7.00 15 Variable selling and administrative $11.00 16 Fixed costs: 17 Fixed manufacturing overhead $14,300.00 18 Fixed selling and administrative $1,800.00 19 20 Required: 21 22 a) Prepare an income statement for the month using the contribution format and the variable costing method. 9 marks) 23 WORK Hemos con 01 20 Required: 26 22 ) Prepare an income statement for the month using the contribution format and the variable costing method (9 marks) 28 24 "Tanner Ltd Contribution Format Income Statement Month ended December 31, 2020 27 Sale 28 Cost of goods sold: 29 30 Beginning inventory 31 Variable selling and administrative 32 33 34 35 Contribution margin 36 Less fixed expense: 37 Fixed manufacturing overhead 38 Fixed selling and administrative 39 40 41 42 b) Prepare an income statement for the month using the absorption costing method. (8 marks) 43 b) Prepare an income statement for the month using the absorption costing method. (8 marks) "Tanrid Absorption Costing Income Statement Mouth ended December 31, 2020 4 Cost of roods sold: 50 51 52 53 54 Less selling and administrative expense: SS 56 57 58 59 ) Reconcile the variable costing and absorption costing income figures for the month 3 marks) 60 61 62 62 Instructions SECTION 2 SECTION 3 SECTION 4 SECTIONS SECTION CLICK HERE TO SAVE YOUR WORK Les selling and administrative expenses 56 S2 28 59 ) Reconcile the variable conting and absorption costing income fiues for the month marks) 61 02