QUESTION $2$

$(20$ Marks$)$

REQUIRED

Use the information provided below to prepare the Income Statement for the year ended $31$ May $2024$ using the following methods:

$2\mathrm{.}1$ Marginal costing

$(10$ marks$)$

$2\mathrm{.}2$ Absorption costing.

$(10$ marks$)$

INFORMATION

The following information was extracted from the accounting records of Blight Limited, a manufacturer of rechargeable globes, for the year ended $31$ May $2024$:

$\backslash$table$[[$Inventory on $01$ June $2023,0],[$Production for the year $($units$),50000],[$Sales for the year $($units$),40000],[$Selling price per unit,R$70],[$Variable manufacturing costs per unit:$],[$Direct materials,$\frac{?}{\text{b}\text{a}\text{r}}(R10)$