TAJ Ltd. manufactures a Single product MAHAL. The following relate to MAHAL for 1 year period:

400 8.00 Activity Level 50% 100% Sales and Production (units) 800 in lakhs in lakhs Sales 16.00 Production Costs Variable 3.20 6.40 Fixed 1.60 1.60 Selling and Agministration Costs Variable 1.60 3.20 Fixed 2.40 2.40 The normal of activity for the year is 800 units. Fixed costs are incurred evenly throughout the year, and actual fixed costs are the same as budgeted. There were no stocks of MAHAL of the beginning of the year. In the first quarter, 220 units were produced and 160 units were sold. Required: What would be the Fixed Production Costs absorbed by MAHAL if absorption costing is used? 0) What would be the under/over-recovery of production overheads during the period? (C) What would be the Profit using Absorption Costing? (d) What would be the Profit using Marginal Costing