Response to the following problem:
Munn Bicycle Company manufactures bicycles specifically for college campuses. The bicycles sell for $100 and are very sturdy, with built-in saddlebags on the rear designed to carry backpacks. Selected data for last year's operations are as follows:
Required: Hide A. Prepare income statement using variable costing method. Prepare an income statement using the Absorption costing method. Enter all amounts as positive numbers.