Sheridan Products manufactures and sells a variety of camping products. Recently the company opened a new factory to manufacture a deluxe portable cooking unit. Cost and sales data for the first month of operation are shown below: Beginning inventory Units produced Units sold Manufacturing costs Fixed overhead Variable overhead Direct labour Direct material Selling and administrative costs Fixed Variable 0 units 10,000 9,000 $80,000 $3 $9 $25 $190,000 per unit per unit per unit $3 per unit sold The portable cooking unit sells for $110. Management is interested in the opening month's results and has asked for an income statement.

Sheridan Products manufactures and sells a variety of camping products. Recently the company opened a new factory to manufacture a deluxe portable cooking unit. Cost and sales data for the first month of operation are shown below: The portable cooking unit sells for \$110. Management is interested in the opening month's results and has asked for an income statement. Reconcile the difference in net income between the absorption-costing and variable-costing methods