REQUIRED

Study the information provided below and prepare the income Statement for the year ended $31$ December $2023$ using the marginal costing method.

INFORMATION

$(11$ marks$)$

Marburg Manufacturers started operations on $02$ January $2023.$ It produced $50000$ units of the only product that it manufactures and sold $80\%$ of the units produced at a price of R$150$ per unit during $2023.$ Variable manufacturing costs amounted to R$50$ per unit and variable marketing costs amounted to R$30$ per unit. Fixed costs totalled R$1200000$ of which $70\%$ was for manufacturing and $30\%$ was for administration and marketing.