Walsh Company manufactures and sells one product. The following information pertains to each of the companys first two years of operations:$$ Image During its first year of operations, Walsh produced $50,000$ units and sold $40,000$ units. During its second year of operations, it produced $40,000$ units and sold $50,000$ units. The selling price of the companys product is $$60$ per unit.$$Required:$1.$ Assume the company uses variable costing:a$.$ Compute the unit product cost for Year $1$ and Year $2.$b$.$ Prepare an income statement for Year $1$ and Year $2\mathrm{.}2.$ Assume the company uses absorption costing:a$.$ Compute the unit product cost for Year $1$ and Year $2.$b$.$ Prepare an income statement for Year $1$ and Year $2\mathrm{.}3.$ Reconcile the difference between variable costing and absorption costing net operating income in Year $1.\backslash$table$[[$Variable costs per unit:,$],[$Manufacturing:$,],[$Direct materials,$$21$