Question Two Babybox Lid in Newcastle is a manufacturer of organic stock cubes especially made for consumption by babies from the age of 1 year. For each box of cubes, they charge $7.50. Normal demand is projected to be 100,000 boxes per year. The material cost per box is f2.68, and the labour cost is f6 per labour hour. It takes 30 minutes to produce one box of cubes. Fixed production overheads are $30,000 per annum, and fixed administration costs are E105 per month. There are also some variable overheads which total t0.40 per box. These variable overheads can be split as 55% production-related overheads and 45% selling overheads, the latter incurred at the point of sale. Production of the cubes is constant all year round, but Babybox Lid learned that there is a higher demand in the first half of the year. This is reflected in their planned production schedule as stated below: Jul 1 - Dec 31, 2021 Jan 1 - June 30, 2022 Boxes sold 60,000 68,000 Boxes produced 75,000 50,000 The stock-take on June 30, 2021 showed that 10,000 boxes were in stock Management of Babybox Lid has requested that the bi-annual profit statements for the next year be calculated using both marginal and absorption costing principles in order to allow for an adjustment of planning, if necessary. Required: a) Prepare a profit statement for the two periods Jul -Dec 2021 and Jan Jun 2022 using: 1 . Marginal Costing ii. Absorption Costing (18 marks)