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Feline and ithnstatire oxaenye: Reaulred: 1. Using the absorpfion costing concept, prepare income stasements for (a) May and (b) June: 2. Using the variabie costing concept, prepare income staternents for (a) Mary and (b) June. 3a. Explain the reason for the oitterences in operating income in (1) and (2) for May. 3b. Explain the reasan for the differences in operaing income in (1) and (2) for June. 4. Based on your answors to (1) and (2), did Big Sky Creations Company operato more profitibly in May or in June? Explain. 1a. Using the absorption costing concept, prepare income statements for May. 16. Veing the absormition orsting conosce, prepare inoome statoments for dune. hocome Statement inatructions Blg Sky Creations Company Abeorption Coeling ircome statemert Income Statement Instructions Big Sky Creations Company Variable Costing Income Statement (Label) 1 2 (Label) 23 34 45 5 7 8 9 (Label) 10 11 12 13 2t. Using the variable oosthe covicept, propare income sfafinonfs far Aune. far May, coprating income neported under manchachuring cogte that are expersed on the stamnati, but foll en poe For forn, epering noome, reported unted conteg die so part of marudachaing couts hom May haw are wapensed un the cosang rceme stesemart, but not on the costing income staterent. Bu fliky Crations Conepany wh under the varuble cotting conceot. The dewence in openaing nowme reported under the abtorpsion cosing concect is tue to alocuting

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