Stella's Foods produces frozen meals that it sells for $10 each. The company computes a new monthly fixed manufacturing overhead allocation rate based on the planned number of meals to be produced that month. Assume all costs and production levels are exactly as planned. The following data are from Stella's Foods's first month in business: (Click the icon to view the data.) Read the requirements. Requirement 1. Compute the product cost per meal produced under absorption costing and under variable costing. (Round your answers to the nearest cent.) Absorption Variable costing costing Data Table Total product cost per meal January 2018 Requirement 2a. Prepare Stella's Foods's January income statement using absorption costing. Units produced and sold: Sales 800 meals Stella's Foods Income Statement (Absorption Costing) Production 1,100 meals Month Ended January 31, 2018 $ 5 1 Variable manufacturing cost per meal Sales commission cost per meal Total fixed manufacturing overhead Total fixed selling and administrative costs 385 400 Operating Income Print Done Requirement 2b. Prepare Stella's Foods's January income statement using variable costing. Requirement 2b. Prepare Stella's Foods's January income statement using variable costing. Stella's Foods Income Statement (Variable Costing) Month Ended January 31, 2018 Operating Income Requirement 3. Is operating income higher under absorption costing or variable costing in January? In January, absorption costing operating income variable costing operating income