Variable and Absorption Costing Grant Company sells its product for $53 per unit, Variable manufacturing costs per unit are $32, and foxed manufacturing costs at the normal operating level of 18.000 units are $90,000. Variable selling expenses are 54 per unit sold. Fixed administrative expenses total $155.000 Grant had 7.000 units at a per-unit cost of $37 in beginning inventory in 2016. During 2016, the company produced 18,000 units and sold 20,000. Would net income for Grant Company in 2016 be higher if calculated using variable costing or using absorption costing? Calculate reported income using each method Do not use negative signs with any answers. Absorption Costing Income Statement Sales 1,060,000 Cost of Goods Sole Beginning inventory 259.000 Variable costs 666.000 FedCo ON Les Ending inventory 185.000 Cost of Goods Sold 740.000 Gross profit 120.000 Seling 10.000 Admite 155.000 Net Income 15.000 Variable Costing Income Statement $ 1.000,000 Cost of Goods Soldt Beginning ventory 224.000 Variable costs 576.000 Les Ending inventory 160.000 Variable cost of goods sold 640,000 Variable selling expense 30,000 Gross profit 3.400,000 Fixed Manufacturing cost 90.000 Am F 165 M produced 13,000 units and sold 20,000. Would net income for Grant Company in 2016 be higher it calculated using variable costing or using absorption costing? Calculate reported income using each method Do not use negative signs with any answers. Absorption Costing Income Statement Sales $ 1,060,000 Cost of Goods Sold: Beginning Inventory 259,000 Variable Costs 666,000 X Fixed Costs OX Less Ending inventory 185.000 Cost of Goods Sold 740,000 Gross profit 320,000 Seling expense 80,000 Administrative expense 155,000 Net Income 85,000 Variable Costing Income Statement Sales $ 1,060,000 Cost of Goods Sold: Beginning inventory 224,000 Variable costs 576,000 Less Ending inventory 160,000 Variable cost of goods sold 640,000 Variable selling expense 80,000 Gross profit 3,400,000 Fred costs Manufacturing cost 90,000 Administrative Expense 155.000 Total Fixed Com 245,000 Net Income $ 95.000