The following information was extracted from the accounting records of ABC Manufacturers for the year ended September 2020:

UNITS

Inventory at the beginning of the year Nil

Production for the year 20 000

Sales for the year (at R75 per unit) 18 250

R

Direct Materials cost per unit 21

Direct Labour cost per unit 7

Variable Manufacturing overheads per unit 8

Variable selling and administrative cost per unit 5

Fixed manufacturing overhead cost 182 000

Fixed selling and administrative cost 77 000

REQUIRED:

4.1 Income Statement using the Marginal Costing method.

4.2 Income Statement using the Absorption Costing method.