Speedy Motors assembles and sells motor vehicles and uses standard costing. Actual data relating to April and May 2020 are as follows: (Click the icon to view the data.) The selling price per vehicle is $30,000. The budgeted level of production used to calculate the budgeted fixed manufacturing cost per unit is 400 units. There are no price, efficiency, or spending variances. Any production-volume variance is written off to cost of goods sold in the month in which it occurs. Read the requirements. Contribution margin Revenues Cost of goods sold: Fixed manufacturing costs. Fixed operating costs Operating income (b) Prepare April and May 2020 income statements for Speedy Motors under absorption costing. Complete the top half of the income statement for each month first, then complete the bottom portion. (Enter a "0" for any zero balance accounts. Label any variances as favorable (F) or unfavorable (U). If an account does not have a variance, do not select a label.) Beginning inventory Variable manufacturing costs Allocated fixed manufacturing costs Cost of goods available for sale Deduct ending inventory Adjustment for production-volume variance Cost of goods sold Gross margin Data table A 1 2 Unit data: 3 Beginning inventory 4 Production 5 $ 5,700,000 2,400,000 625,000 $ 2,680,000 April 2020 0 4,600,000 2,400,000 7,000,000 (875,000) 0 $ 10,500,000 Sales 6 Variable costs: 7 Manufacturing cost per unit produced $ 8 Operating (marketing) cost per unit sold 9 Fixed costs: 10 Manufacturing costs 11 Operating (marketing) costs B April 0,00 1,000 2,400,000 625,000 $ 3,576,500 4,312,500 2,250,000 0 400 350 May 2020 (350,000) 11,500 $ 2,200 $ 12,150,000 U May 50 375 405 11,500 2,200 $ 2,400,000 $2,400,000 625,000 625,000