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The Ull Company produces a 10-inch chet knife used by commercial chefs. The knives sell for $205 each. In 2020, the company produced 11.000 units and sold 8.600 units. There was no beginning inventory. Following are variable and full costing Income statements for 2020 Income Statement Prepared Using Variable Costing Uli Company Income Statement For the Year Ending December 31, 2020 Sales 51.763.000 Less variable costs Variable cost of goods sold 5880,000 Variable selling expense 160.000 1.040.000 Contribution margin 722.000 Less fixed costs Fixed manufacturing expense 374,000 105,000 Fixed selling expense Fixed administrative expense 200,600 679.600 Net Income $41,400 Income Statement Prepared Using Full Costing Us Company Income Statement For the Year Ending December 31, 2020 Sales $1.763.000 Less cost of goods sold 1.172.400 Gross margin 590,600 Less selling and administrative expenses Selling expense $265,000 Administrative expense 200.600 465.600 Net income $125.000 Reconcile the difference in profit between the two income statements. Round cost per unit to 2 decimal places 15-25 ond find answers to decimal places, es 125) Reconciliation Statement Net income under variable costing Adid V Ending inventory under costing Net Income under full casting

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