[The following information applies to the questions displayed below. Jorgansen Lighting, Inc., manufactures heavy-duty street lighting systems for municipalities. The company uses variable costing for internal management reports and absorption costing for external reports to shareholders, creditors, and the government. The company has provided the following data: Year 1 Year 2 Year 3 193 Inventories: Beginning (units) Ending (units) Variable costing net operating income 205 166 $298,900 166 193 $274,500 222 $257,200 The company's fixed manufacturing overhead per unit was constant at $566 for all three years. value: 1.25 points Required: 1. Determine each year's absorption costing net operating income. Reconciliation of Variable Costing and Absorption Costing Net Operating Incomes Year 1 Year 2 Year 3 Variable costing net operating income Add (deduct) fixed manufacturing overhead deferred in (released from) inventory under absorption costing Absorption costing net operating income