Read the following information and answer questions that follow The following information is available in Boago's books on December 31, 2012 PULAS Opening inventory 5 000 Bricks made during the year 9,000 Bricks sold during the year 12,000 Closing inventory 2 000 Selling price 0 Manufacturing costs Variable costs Direct material/brick 3 Direct Labor hour used to make one brick 2 Variable manufacturing overhead 1 50 000 Fixed manufacturing overheads per year Selling and administrative costs: Commission paid for selling one brick 1 50 000 Fixed selling and administration costs per year Calculate the product cost using absorption costing. i. (3 marks) Prepare an income statement using variable costing. ii. (7 marks) Read the following information and answer questions that follow. Boago is into a brick selling business. The business started operation in the year 2013, The selling price per brick is P10, variable costs per brick is P5 and fixed costs for the year is P100,000. Assuming that Boago sold 10,000 bricks, what is the profit or loss? . (5 marks) b. If Boago is to sell 15,000 bricks what will be the profit or loss? (5 marks) How many bricks should Boago sell to break even? (3 marks) . d. (2 marks) What is the Break Even Point (BEP) in sales? How much units should Boago sell if he is targeting to make P30,000 profit for the year . (3 marks) 2014