Accounting

Please answer each of the following questions in detail. Provide in-text citations and include examples whenever applicable.

Is variable costing income statement applicable to service operations? If so, provide a hypothetical example of variable costing income statements in a service operation. Explain your example in detail and provide in-text citations.
Explain the difference between variable costing and absorption costing income statements. Provide a hypothetical income statement in both formats in which the number of units sold is different than the number of units manufactured. Explain the contrast between the two formats.

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