Walsh Company manufactures and sells one product. The following information pertains to each of tha company's first two years of operations Variable costs per unt Direct materials Direct labor Variable manufacturing overhead S 22 S 14 $ 2 Variable selling and administrative Fixed costs per year Fixed manufacturing ovarhead Fixed selling and administrative expenses 60,000 $400,000 During its first yoar of oporations, Walsh produced 50,000 units and sold 40,000 units. During its socond year of operations, it produced 40,000 units and sod 50,000 units, The sel ing price of the company's product is $59 por unit Required: 1. Assume the company uses variable costing: a. Compute the unit product cost for year 1 and year 2 Unit product cost b. Prepare an income statement for year 1 and year 2 Walsh Company Income Statement Year 1 Year 2 Veriable expenses Total variable expenses Fixed expenses Total fixed expenses Net operating income (loss) 2. Assume the company uses absorption costing a. Compute the unit product cost for year 1 and year 2. (Round your answer to 2 decimal places.) Year 1 Year 2 Unit product cost b. Prepare an income statement for year 1 and year 2. (Round your intermediate calculations to 2 decimal places.) sh ny Income Statement Year 1 Year 2 Net operating income (loss)