Sivan Co. manufactures and sells one product. For the year, they started with no opening inventory; produced 100,000 units, but only sold 70,000 units. The selling price per each unit is $60. The variable costs per unit were: Direct materials.........................7 Direct Labor .............................6 Variable manufacturing overhead ....5 Variable selling and administrative6 Fixed costs per year: Fixed manufacturing Overhead ................$700,000 Fixed Selling and Administrative expenses.. $300,000 (a) Prepare the Income Statement using Absorption Costing. (b) Prepare the Income Statement using Variable Costing

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