Q No.# 2 (04 marks) The following data were taken from the records of a company.

Period 1 Period 2 Period 3

Production(units) 30,000 38000 27000

Sales 30,000 27000 38000

Opening stock 11,000

Closing stock ------ 11,000 -------

Per unit cost are as follows:

Direct material $ 1.5

Direct labor 1.0

Production overhead 3.0

Selling price per unit $ 9

Administrative overheads are fixed at $25000 and one third of the production overheads are fixed.

Required

Prepare separate income statements for all three year