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All, inc. began operations on January 1, 2016. the company does not generally carry work in...

All, inc. began operations on January 1, 2016. the company does not generally carry work in process inventories at the end of the year. variable products costs per unit were the same for 2016, 2017, and 2018 and total $68 per unit. total fixed overhead costs are $600,000 per year. variable selling and administrative costs are $9 for each unit sold. fixed selling and administrative costs are $240,000 per year. the selling price is $450 per unit for all three years. production and sales figures (in units) for three years are below.

2016: production 4000 units, sales 2000 units

2017: production 4000 units , sales 1500 units

2018: production 1000 units, sales 6000 units

A) make two income statements for 2017: one using Absorption costing and one using variable costing

B) assume variable costing net income is 1,000,000 for 2018. create a reconciliation schdedule to compute absorption costing net income for the same year.

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