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 Inventories: Beginning (units) Ending (units) 200 164 $293.400 164 195 $270,500 195 236 $256,900 Variable costing net operating income The company's fixed manufacturing overhead per unit was constant at $566 for all three years. velue: 16.66 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 Hints References eBook & Resources Hint #1 Check my work velue: 16.66 points 2. In Year 4, the company's variable costing net operating income was $251,700 and its absorption costing net operating income was $268,800. a. Did inventories increase or decrease during Year 4? O Increase b. How much fixed manufacturing overhead cost was deferred in or released from inventory during Year 4? xed manufacturing overhead cost inventory during Year 4