A The figures given below are all that could be salvaged from the records after a recent fire in the offices of Firelighters Limited. The company manufactures a single product, has no raw materials or work in progress and values its inventory at marginal cost (i.e. at variable manufacturing cost) using the FIFO basis. It is known that the unit closing inventory valuation in 2013 was the same as in 2012.

\begin{tabular}{lrr}

& 2013 & 2014 \\

Selling price per unit & $£ 10.00$ & $£ 10.00$ \\

Variable manufacturing cost (per unit produced) & $£ 4.00$ & $£ 4.00$ \\

Variable selling cost (per unit sold) & $£ 1.25$ & $?$ \\

Quantity sold (units) & 100,000 & $?$ \\

Quantity manufactured (units) & 105,000 & 130,000 \\

Contribution & $£ 105,000$ & $£ 585,000$ \\

Fixed manufacturing costs & $£ 155,000$ & $£ 292,000$ \\

Other fixed costs & $£ 70,000$ & $?$ \\

Operating profit before interest charges & $? 292,000$ \\

Interest charges & 20,000 & 20,000 \\

Opening finished inventory (units) & $?$ & $£ 210,000$

\end{tabular}

\section*{Required:}

Prepare a revenue statement for management showing contribution, operating profit and net profit for each year in as much detail as the information given above permits.

(Reproduced with the kind permission of OCR: from the University of Cambridge Local Examinations Syndicate)