Jack and Jill run a company that produces and sells king-size duvets directly to the public. The company uses standard costing for budgeting and forecasting purposes for its product. You have recently been employed as the company's accounts assistant and you are trying to get to grips with the standard costing system. You are looking at the forecast and actual figures for September. Jack and Jill have asked you to produce statements reconciling the forecast and actual prots for September. They want your statements to explain why the forecast and actual profits related to the sale of the kingsize duvets are different, and to show where differences between forecast and actual revenues and costs have arisen. Using the information related to the product and the steps outlined, produce the reconciliations requested by Jack and Jill for the king-size duvets: Jack and Jill: Standard Costing Information for Duvets Standard Cost Card KingSize Duvets Revenue Standard selling price 4000 Standard costs and inputs per duvet Materials: @ 1.20 per kilo 6.00 Materials: packaging @ 0.20 per metre 1.00 Direct labour @ 12 per hour 4.00 Variable overhead @ 6/labour hour 2.00 Total costs 13.00 Standard contributon per duvet 27.00 Annual sales (number of duvets) 12,000 September: projected sales (number of duvets) 1,500 No fixed overheads are allocated to products. Jack and Jill: Actual results for September King-Size duvets Actual sales (number of duvets) 1,400 Sales 58,800 Materials @ 1.25 per kilo 9525 Materials: packaging @ 0.18 per kilo 1,134 Direct labour @ 11.40 per hour 4,560 Variable overhead @720 per labour hour 2,880 Profit for the month