XYZ Company mancare and sellsingle produit Cost data for the product is listed follow $10 Product Cast Data home Direct matals Directo Variable factory overhead Variable selling and administrative Total variable costs per unit 8 2 $42 Fixed costs per month Fixed manufacturing overhead Fixed selling and administrative Total fixed cost per month $216,000 338.000 $S54,000 The product sells for $98 per unit. The company started July with no finished goods inventory. Production and sales data for July and August are as follows: Beginning Units Ending Units Sold inventory Produced inventory July 0 54,000 46,000 8,000 August 8,000 48,000 52,000 4,000 Note: Some green and blue highlighted areas may not need to be used. P2 P4 P3 New 1 An Note: Some green and blue Nighlighted are my not need to be used Required 1. Determine the unit product cost under absorption costing and variable costing for July and August (4 marks) . 5 . Absorption Costing July August Variable Casting July August Unit product cost 2. Prepare, in good form, operating income statements for Linden Company for August only using a) Absorption Costing. (6 marks) Supporting calculations P1 P2 P4 P3 New.. CLICK HERE TO SAVE YOUR WORK b) Variale Casting ( marks) Supporting cleulations 54 56 57 5 0 1 2 3. Reconcile Linden Company's operating income reported under absorption and variable costing for August only. Be specific about where the difference in operating income comes from. (3 marks) Supporting calculations Variable costing operating income (loss) Absorption costing operating income (loss) Absorption costine operating income foss) 20 4. Compare the costing methods and explain how each method is used by companies. (2 marks)