Sims Company, a manufacturer of tablet computers, began operations on January 1, 2015. Its cost and sales information for this year follows.

Manufacturing costs 35 per Direct materials Direct labor Overhead costs for the year unit per unit Variable overhead Fixed overhead $4,000,000 $6,000,000 Selling and administrative costs for the year Variable Fixed $ 775,000 $4,500,000 Production and sales for the year Units produced Units sold Sales price per unit 100,000 units 70,000 units 350 per unit 1. Prepare an income statement for the year using variable costing SIMS COMPANY Variable Costing Income Statement Net income (loss)