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The following patterns of sales and production are expected during the first six months of 2014. January March April June Sales (units) Production (units) 60,000

The following patterns of sales and production are expected during the first six months of 2014.

January March

April June

Sales (units)

Production (units)

60,000

70,000

90,000

100,000

There is no stock on 1 January 2014.

Required:

Prepare profit statements for each of the two quarters, in a columnar format, using the following:

a) Marginal costing(5Marks)
b) Absorption costing (5mks)

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