Sims Company began operations on January 1. Its cost and sales information for this year follow. Direct materials Direct labor Variable overhead Fixed overhead Variable selling and administrative expenses Fixed selling and administrative expenses Units produced Units sold Sales price 1. Prepare an income statement for the year using variable costing. 2. Prepare an income statement for the year using absorption costing. $ 40 per unit $ 60 per unit $ 30 per unit $ 7,000,000 per year $ 11 per unit $ 4,250,000 per year. 100,000 units 70,000 units $ 350 per unit Answer is not complete. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Prepare an income statement for the year using variable costing. SIMS COMPANY Income Statement (Variable Costing) Sales $24,500,000 ( Less: Variable expenses Variable selling and administrative expenses $770,000 Contribution margin Less: Fixed expenses 770,000 14,630,000 Fixed overhead 7,000,000 ( Fixed selling and administrative expenses Income (loss) 4,250,000 11,250,000 $ 3,380,000 (