Prepare a variable cost income statement with product costs separated into fixed and variable categories.

Income statement

1. A. Prepare a traditional income statement with product costs categorized as cost of goods sold.
   • B. Prepare a variable cost income statement with product costs separated into fixed and variable categories.

2.A. Identify as many business risks as you can in evaluating the viability of this new video product.
B. Pick one of the items you identified in part (A) and explain why managers cannot completely eliminate the risk