Wentzel Company manufactures and sells one product. The following information pertains to each of the company's first two years of operations: $10 Variable costs per unit: Manufacturing: Fixed costs per year: Direct materials $15 Fixed manufacturing overhead $525,000 Direct labor Fixed selling and administrative $110,000 Variable manufacturing overhead Variable selling and administrative During its first year of operations, Wentzel produced 75,000 units and sold 60,000 units. During its second year of operations, it produced 60,000 units and sold 75.000 units. The selling price of the company's product is $58 per unit. Required: 1. Assume that 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. 2. Assume that 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