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Sales (28,100 units) $1,124,000 Variable expenses Variable cost of goods sold $ 418,690 Variable selling and administrative 174,220 592,910 Contribution margin 531,090 Pixed expenses Fixed manufacturing overhead 279.900 Fixed selling and administrative 264.690 544,590 Net operating 10 $ 13,500) Ms. Tyler is discouraged over the loss shown for the quarter, particularly because she had planned to use the statement as support for a bank loan. Another friend, a CPA, insists that the company should be using absorption costing rather than variable costing and argues that if absorption costing had been used the company probably would have reported at least some profit for the quarter, At this point, Ms. Tyler is manufacturing only one product-a swimsuit Production and cost data relating to the swimsuit for the first quarter follow 31,100 28.100 Units produced Units sold Variable conta per unit Direct materials Direct labor Variable manufacturing overhead Variable selling and administrative $2.10 $6.10 $1.70 5.5.20 Required: 1 Complete the following a. Compute the unit product cost under absorption costing b. What is the company's absorption costing net operating income (loss) for the quarter? c. Reconcile the variable and absorption costing net operating income foss) figures. 3. During the second quarter of operations, the company again produced 31100 units but sold 34, 100 units. (Assume no change in total Required: 1. Complete the following: a. Compute the unit product cost under absorption costing. b. What is the company's absorption costing net operating income (loss) for the quarter? c. Reconcile the variable and absorption costing net operating income (loss) figures. 3. During the second quarter of operations, the company again produced 31,100 units but sold 34,100 units. (Assume no charm fixed costs.) a. What is the company's variable costing net operating income (loss) for the second quarter? b. What is the company's absorption costing net operating income (loss) for the second quarter? c. Reconcile the variable costing and absorption costing net operating incomes for the second quarter