Please help, confuse with this question(Variable Costing and Marginal Costing).

A company manufactures buns which are considered the main product for its store located in Montego Bay, St. James. On January 1, 2015, management budgeted fixed production overheads to amount to $48,000,000. Based on the company’s policies, overheads are absorbed based on the budgeted direct labour hours to be worked. At the start of the year, the entity had budgeted direct labour cost amounting to $60,000,000. Additionally, the production manager estimated that the budgeted direct labour hour (DLH) rate is $25. The rate is the same as the actual rate below.
For the year ended December 31, 2015 the following actual results are depicted below:

Production (units) 1,500,000
Sales (units) 1,250,000
Sales price per unit $200
Direct materials per unit $100
Direct labour cost per unit $25
Variable production overheads per unit $25
Variable selling costs per unit $25
Total fixed selling costs $6,000,000
Fixed Overheads cost $45,000,000

Note: each bun actually uses one direct labour hour (DLH). The entity had no inventory at the start of the period.

Required:
a. Using variable costing approach, prepare an income statement for the year ended December 31, 2015.
b. Using absorption costing, calculate under or over absorption of overheads. ]
c. Using absorption costing approach, prepare an income statement for the year ended December 31, 2015

This is what I started to do
For Question a

Sales (1,250,000 x 200) $250,000,000
Variable Cost(1,250,000 x 175) $ 218,750,000
Contribution $31,250,000

This is where I am lost. What do I do next. Should I subtract Fixed Overhead and Fixed Selling because I would receive a lost??

For Question b

Reconciliation
Production (1,500,000 x 200) $300,000,000
Sales (1,250,000 x 200) $250,000,000
= $50,000,000
OAR 48,000,000/60,000,000= $0.8
Difference 50,000,000 x 0.8 = $40,000,000

Budgeted Overheads = $48,000,000
Actual Overheads = $45,000,000
under = $3,000,000
Actual Activity Level =

Under/Over Absorbed = 45,000,000 – (0.8 x ????) lost from this point onward..