Summarized data for 2016 (the first year of operations) for Trenton Products, Ins., are as follows:

Sales (200,000 units)..... $8,000,000 Production costs (210,000 units): Direct material..... 2,100,000 Direct labord..... 1,680,000 Manufacturing overhead: Variable..... 1,260,000 Fixed..... 1,050,000 Operating expenses: Variable..... 560,000 Fixed..... 640,000

a- Prepare an income statement based on full absobtion costing b- Prepare an income statement based on variable costing c- Assume that you must decide quickly whether to accept a special one-time order for $1,000 units for $28 per unit. Which income statement presents the most relevant data? Determine the apparent profit or loss on the special order based solely on these data d- If the ending inventory is destroyed by fire, which costing approach would you use as a basis for filing an insurance claim for the fire loss? Why?