This level is fairly easy to beat. Simply shoot Terence at an angle so that it either hits both pigs directly, or that it crashes the base of the taller structure. Both methods will instantly kill the first Small Pig. The second pig should be killed directly by Terence, or by flying debris.
This level was based off of Poached Eggs 1-1. It is supposed to be its reconstruction, just like how all levels in The Big Setup are based on levels from previous episodes.