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Flopper Engines Ltd assembles and sells ship engines. It uses an actual costing system, in which unit costs are calculated on a monthly basis. In September and October 2007, the selling price per engine was 15,000. For the costing of stock the FIFO method is used. Further data relating to September and October 2007 are: Required: Use the variable costing method calculate the operating profit for Oct. 2007. Use the absorption costing method calculate the operating profit for Oct. 2007 . Briefly explain any difference between a) and b). Show all workings. Flopper Engines Ltd assembles and sells ship engines. It uses an actual costing system, in which unit costs are calculated on a monthly basis. In September and October 2007, the selling price per engine was 15,000. For the costing of stock the FIFO method is used. Further data relating to September and October 2007 are: Required: Use the variable costing method calculate the operating profit for Oct. 2007. Use the absorption costing method calculate the operating profit for Oct. 2007 . Briefly explain any difference between a) and b). Show all workings