ACME Inc. produces sunglasses at its factory. The following information relates to the production of the sunglasses for the period ending 30 June 2021. Production Sales (Units) (Units) Budgeted 75,000 72,500 Actual 80,000 77,500 Budgeted Actual Fixed production cost $750,000 $781,250 Fixed selling overhead $562,500 $562,500 The fixed production overhead was absorbed at a pre-determined rate per unit produced. A pair of sunglasses was sold for $450. At the beginning of May 2020, there was opening inventory of 4,375 units valued at $262,500; this includes fixed production overhead of $43,750. Required: (a) Prepare a marginal costing income statement for the company. (4 marks) ) Prepare an absorption costing income statement for the company. (11 marks) (c) Reconcile the income under both statements. (2 marks) (d) Distinguish between variable costing and absorption costing