AccountingBLOCK

I was given this problem to work out in an introductory managerial accounting class and I have to find the net income for the following information for a company that makes one product:

Selling price: $92 per unit

Units in beginning inventory: 0
Units produced: 8700
units sold: 8300
units in ending inventory: 400

Variable costs per unit:
Direct Materials: $13
Direct Labor: 55
Variable manufacturing overhead: 1
Variable selling & admin expense: 5

Fixed Costs:
Fixed manufacturing overhead: $130,500
Fixed selling and administrative: $8300

Under variable costing I got a net loss of (17,000)
Under absorption costing I got a net profit of 16,600

Is this right? If not, can you show me what I did wrong?

What exactly is this? Never even heard of these two topics let alone solve a problem... somebody will help you though!

Maybe this will help....

Variable Costing: sales = $ 763,600; variable cost = $ 614,200; fixed cost = $ 138,800; income = $ 10,600

Absorption Costing: sales = $ 763,600; cost of goods sold = $ 697,200 ($ 84 x 8,300 units); selling and administrative expenses = $ 49,800; income = $ 16,600

I AM GOOD