Waterloo Storage Products makes a four-drawer plastic storage cabinet on casters meant for use in garages and workshops. Each cabinet sells for $54. Data for last year's operations follow: 21,200 19,600 1,600 12 14 Units in beginning inventory Units produced Units sold Units in ending inventory Variable costs per unit: Direct materials Direct labour Variable manufacturing overhead Variable selling and administrative Total variable cost per unit Fixed costs: Fixed manufacturing overhead Fixed selling and administrative Total fixed costs 40 $ 84,500 119,500 $204,000 2. Assume that the company uses variable costing. Prepare a contribution format income statement for the year. (Do not leave any empty spaces; input a O wherever it is required.) $ 1,058,400 Variable Costing Income Statement Sales Variable expenses: Variable cost of goods sold: Variable cost of goods sold $ 627,200 Add: Variable manufacturing costs 627,200 627,200 627,200 431,200 Fixed expenses 0 $ 431,200 Baxtell Company manufactures and sells a single product. The following costs were incurred during the company's first year of operations: Variable costs per uniti Manufacturing Direct materials Direct labour Variable manufacturing overhead Variable selling and administrative Fixed costs per year Pixed manufacturing overhead Pixed selling and administrative expense 366,000 170,400 During the year, the company produced 36,600 units and sold 28,400 units. The selling price of the company's product is $82 per unit. 2. Assume that the company uses variable costing. a. Compute the unit product cost. Unit product cost $ 55 b. Prepare an income statement for the year. (Do not leave any empty spaces; input a O wherever it is required.) Variable Costing Income Statement Variable expenses: Variable cost of goods sold: Variable cost of goods sold 0 Fixed expenses: Operating income