Saunders manufactures a single product, details of which are as follows.

per unit	$
selling price	1500
direct materials	400
direct labour	200
variables overheads	150

Annual fixed production overheads are budgeted to be $4 million and Saunders expects to produce 80,000 units of Bark each year. Overheads are absorbed on a per unit basis. Budgeted fixed selling costs are $1,520,000 per quarter.

Actual stock data for quarter of 2020 are given below.

	January -March	April-June
Sales	20000	23000
Production	22000	17000
opening Stock	5000	7000

Required-

1. Calculate closing stock.
2. Prepare a Marginal Costing Statement for both quarters.
3. Prepare an Absorption Costing Statement for both quarters.
4. Reconcile profit figures from both statements.