Sunrise Pools and Spas manufactures fibreglass forms for inground pools and swim spas for allseason use. The company uses variable costing for internal management reports and absorption costing for external reports to shareholders, creditors, and the government. The company has provided the data for their swim spa business in years and shown below.
The company's fixed manufacturing overhead per unit was constant at $ for all three years:
tableInventories:Year Year Year Beginning unitsEnding unitsVariable costing operating income,$$$
