The company's selling and administrative expenses consist of $300, fixed expenses and $4 per unit sold in variable expenses. The $23 per given above is computed as follows: Required: 1. Prepare the company's income statement in the contribution format costing. 1. Prepare the company's income statement in the contribution format using variable costing. 2. Reconcile any difference between the net operating income on your variable costing income statement and the net operating income on the absorption costing income statement