Zot-Ice Corp. has provided the following data for the current year.

Units produced	2,500 units
Sales price	$400 per unit
Direct materials	$75 per unit
Direct labor	$65 per unit
Variable manufacturing overhead	$25 per unit
Fixed manufacturing overhead	$225,000 per year
Variable selling and administrative costs	$30 per unit
Fixed selling and administrative costs	$150,000 per year

Part A Calculate the unit product cost using variable costing and absorption costing.

Part B Assuming that Zot-Ice Corp. sells 2,000 units, prepare an income statement in proper format using variable costing and absorption costing. (There are no beginning inventories.)