selling & Admnistrative cost variable : $85000 per year

fixed : $45000 per year

units sold : 75000 units

units produced : 10000 units

fixed manufacturing overhead: $100000 per year

Waltman Company just ended its first year of operations. We are hired to help with the company's reporting. The Tableau Dashboare provides data for our analysis Variable Manufacturing Costs Fixed Overhead Costs Per Year $10 per unit 58 per unit $5 per unit o0000 54 per unit Selling & Administrative Costs Per Year $2 per unit Fixed Variable Manufacturing Costs $10 per unit Fixed Overhead Costs Per Year 58 per unit 56 per unit 0000 $4 per unit Selling & Administrative Costs Per Year 52 per unit Fixed so per unit Direct labor Direct materials Variable overhead Variable Sales Price Selling Price $100 Per Unit Units Produced vs Units Sold Units Sold Units Produced o 1,000 2,000 3,000 4,000 5,000 6,000 7,000 8,000 9,000 10,000 Units tableau 1. Prepare an income statement for the year using variable costing 2. Prepare an income statement for the year using absorption costing 3. Assuming the manager's bonus is based on income, which costing method would the manager prefer in the current year? 4. Assuming the manager's bonus is based on minimizing the cost of ending inventory, which costing method would the manager prefer in the current year? WALTMAN CO. Income Statement (Variable Costing) For Year Ended December 31 Income WALTMAN CO. Income Statement (Absorption Costing) For Year Ended December 31 Income Answer the following questions 3. Assuming the manager's bonus is based on income, which costing method would the manager prufe in the current year? 4 Assuming the managers bonus is based on minimizing the cost of ending inventory which costing method would the manager prefer in the current year?