(Solved): Exercise 6-9 (Algo) Variable and Absorption Costing Unit Product Costs and Income Statements [L06-1, ...

Exercise 6-9 (Algo) Variable and Absorption Costing Unit Product Costs and Income Statements [LO6-1, LO6-2, LO6-3] Waish Company manufactures and sells one product. The following information pertains to each of the company's first two years of operations: During its first year of operations, Walsh produced 50,000 units and sold 40,000 units. During its second year of operations, it produced 40,000 units and sold 50,000 units. The selling price of the company's product is \( \$ 58 \) per unit. Required: 1. Assume 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 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 . 3. Reconcile the difference between variable costing and absorption costing net operating income in Year \( 1 . \) Completas this question by entering your answers in the tabs below. 1. Assume 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 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 . 3. Reconcile the difference between variable costing and absorption costing net operating incc Complete this question by entering your answers in the tabs below. Assume the company uses variable costing. Compute the unit product cost for year 1 and year 2 . Assume the company uses variable costing. Prepare an income statement for Year 1 and Year 2 . Required: 1. Assume 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 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 \( 2 . \) 3. Reconcile the difference between variable costing and absorption costing net operating Complete this question by entering your answers in the tabs below. Assume the company uses absorption costing. Compute the unit product cost for Year 1 and Yea decimal places.) b. Prepare an income statement for Year 1 and Year \( 2 . \) 2. Assume 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 \( 2 . \) 3. Reconcile the difference between variable costing and absorption costing net operating income in Year \( 1 . \) Complete this question by entering your answers in the tabs below. Assume the company uses absorption costing. Prepare an income statement for Year 1 and Year 2 . (Round your int calculations to 2 decimal places.) a. Cumpute tie uim prumult Lustivi ieai i ailu icai \( \angle \). b. Prepare an income statement for Year 1 and Year 2 . 2. Assume 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 . 3. Reconcile the difference between variable costing and absorption costing net operating income in Year 1 . Complete this question by entering your answers in the tabs below. Reconcile the difference between variable costing and absorption costing net operating income in Year 1 . (Enter any le deductions as a negative value.)