The Dorset Corporation produces and sells a single product. The following data refer to the year just completed: Beginning inventory 0 Units produced 25,200 Units sold 23,600 Selling price per unit $ 428 Selling and administrative expenses: Variable per unit $ 16 Fixed per year $ 401,200 Manufacturing costs: Direct materials cost per unit $ 281 Direct labor cost per unit $ 53 Variable manufacturing overhead cost per unit $ 40 Fixed manufacturing overhead per year $ 378,000 Assume that direct labor is a variable cost. Required: a. Compute the unit product cost under both the absorption costing and variable costing approaches. b. Prepare an income statement for the year using absorption costing. c. Prepare an income statement for the year using variable costing. d. Reconcile the absorption costing and variable costing net operating income figures in (b) and (c) above.