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QUESTION 2 Kayangan Sdn Bhd is a perfume manufacturer located in Kuching, Sarawak. One of its perfumes, "Bidadari" is a new product which production was launched in December 2021. The monthly budgeted production is estimated at 45,000 bottles. The selling price is set RM75 per bottle. Estimated variable costs per bottle of "Bidadari" were as follows: RM Direct materials 30 Direct labour 15 Production overhead 3 Selling and distribution overhead 5% of selling price Other information: 1. All prime costs are considered as variable costs. 2. Total budgeted fixed production overhead is RM112,500 per month and is absorbed into production based on the monthly budgeted production units. 3. Total budgeted fixed administration overhead and budgeted fixed selling overhead are RM32,000 per month and RM48,000 per month respectively. 4. The amount of fixed production overhead and fixed selling and distribution overhead incurred are the same as budgeted. 5. Based on the record, the actual production units for December 2021 were 46,700 bottles and 46,500 bottles were sold. "Bidadari" has no opening stock as it is just launched in December 2021. Required: a. Explain the arguments against Marginal Costing. (4 marks) b. Determine the following details: i. Product cost per blouse both approaches. ii. Movement of inventory iii. Over or under absorption (6 marks) C. Evaluate the Statement of Profit or Loss for the month of June 2021 using: i. Marginal Costing Approach ii. Absorption Costing Approach (10 marks) (Total: 20 marks)