this is number 1. question & the 2. question.....THIS IS HOW CLEAR ITS GOING TO GET!

Sims Company, a manufacturer of tablet computers, began operations on January 1, 2015. Its cost and sales information for this year follows. Prepare an income statement for the year using variable costing Prepare an income statement for the year using absorption costing Under what circumstances) is reported Income identical under both absorption costing and variable costing? Production in answer and m ore on nomes cl oning and being will never be deri Production is greater than sus and weary lovels decrease Production is greater thanses and inventory levels increase Production is sales and there is no beginning finished goods inventory Kenzi Kayaking, a manufacturer of kayaks, began operations this year. During this first year, the company produced 1,050 kayaks and sold 800 at a price of $1,050 each. At this first year-end, the company reported the following income statement information using absorption costing. $ 840000 Sales 800 $1050) Cost of goods sold (800-5500) Gross margin Seling and administrative expenses Net income Additional Information Production cost per kayak totals $500, which consists of $400 in variable production cost and $100 in fixed production cost-the latter amount is based on $105,000 of fixed production costs allocated to the 1,050 kayaks produced. The $230,000 in selling and administrative expense consists of $75,000 that is variable and $155,000 that is fixed. Required Prepare an income statement for the current year under variable costing. KENZO KAYANG Variable Costing Income State Net Income foss) Sims Company, a manufacturer of tablet computers, began operations on January 1, 2015. Its cost and sales information for this year follows. Manufacturing costs Direct materials $ 40 per unit Direct labor$ 60 per unit Overhead costs for the year Variable overhead $ 3,000,000 Fixed overhead $ 7,000,000 Selling and administrative costs for the year Variable $ 770,000 Fixed $ 4,250,000 Production and sales for the year Units produced 100,000 Units sold 70,000 units Sales price per unit $ 350 units per unit 1. Prepare an income statement for the year using variable costing. Variable Couting income Statement 2. Prepare an income statement for the year using absorption costing. SIMS COMPANY Absorption Costing Income Statement Under what circumstance(s) is reported income identical under both absorption costing and variable costing? Production is less than sales and inventory levels decrease Incomes of absorption costing and variable costing will never be identical Production is greater than sales and inventory levels decrease O Production is greater than sales and inventory levels increase Production equals sales and there is no beginning finished goods inventory Kenzi Kayaking, a manufacturer of kayaks, began operations this year. During this first year, the company produced 1,050 kayaks and sold 800 at a price of $1,050 each. At this first year-end, the company reported the following income statement information using absorption costing. Sales (800 $1,050) $ Cost of goods sold (800 * $500) 840,000 400,000 Gross margin 440,000 Selling and administrative expenses 230,000 Net income $ 210,000 Additional Information a. Production cost per kayak totals $500, which consists of $400 in variable production cost and $100 in fixed production cost-the latter amount is based on $105,000 of fixed production costs allocated to the 1,050 kayaks produced. b. The $230,000 in selling and administrative expense consists of $75,000 that is variable and $ 155,000 that is fixed. Required 1. Prepare an income statement for the current year under variable costing. KENZI KAYAKING Variable Costing Income Statement Net income (loss) Fixed costs added to inventory Sims Company, a manufacturer of tablet computers, began operations on January 1, 2015. Its cost and sales information for this year follows. $ 40 per unit 60 per unit $3,000,000 $7,000,000 Manufacturing costs Direct materials Direct labor Overhead costs for the year Variable overhead Fixed overhead Selling and administrative costs for the year Variable Fixed Production and sales for the year Units produced Units sold Sales price per unit $ 770,000 $4,250,000 100,000 units 70,000 units 350 per unit $ 1. Prepare an income statement for the year using variable costing. SIMS COMPANY Variable Costing Income Statement Net Income (loss) 2. Prepare an income statement for the year using absorption costing. SIMS COMPANY Absorption Costing Income Statement Net Income (los) 3. Under what circumstance(s) is reported income identical under both absorption costing and variable costing? Production equals sales and there is no beginning finished goods inventory O Production is less than sales and inventory levels decrease Incomes of absorption costing and variable costing will never be identical O Production is greater than sales and inventory levels increase O Production is greater than sales and inventory levels decrease Kenzi Kayaking, a manufacturer of kayaks, began operations this year. During this first year, the company produced 1,050 kayaks and sold 800 at a price of $1,050 each. At this first year-end, the company reported the following income statement information using absorption costing. Sales (800 x $1,050) Cost of goods sold (800 $500) $ 840,000 400,000 Gross margin Selling and administrative expenses 440,000 230,000 Net income $ 210,000 Additional Information a. Production cost per kayak totals $500, which consists of $400 in variable production cost and $100 in fixed production costthe latter amount is based on $105,000 of fixed production costs allocated to the 1,050 kayaks produced. b. The $230,000 in selling and administrative expense consists of $75,000 that is variable and $155,000 that is fixed. Required 1. Prepare an income statement for the current year under variable costing. KENZI KAYAKING Variable Costing Income Statement Net income (loss) Fixed costs added to inventory