Folan Ltd operates a standard marginal costing system for the single product it manufactures. The standard selling price of this product is N$ 132 per unit Production and sales of 6 000 units are budgeted for period 10. The variable manufacturing cost standards set for period 10 are as follows:

N$ Per Unit
Direct material	2.5 kilos @ N$16.9 per kilo	42.25
Direct labour	1.25 hours @ N$ 18.8 per hour	23.5
Variable production overhead	1.25 direct labour hours @ 13.4 per hour	16.75

The variable production overheads are absorbed on the basis of direct labour hours. Actual results for Period 10 were as follows:

Production	6 380 units
Sales (5 640 units)	N$ 810 750
Direct material, purchased and used (14 730 kilos)	N$ 279 870
Direct labour (8 535 hours)	N$ 153 630
Variable production overhead	N$ 89 740

Opening and closing stocks of finished goods are valued at the standard variable manufacturing cost per unit for period 10. Opening and closing stocks of finished goods are valued at the standard variable manufacturing cost per unit for period 10.