QUESTION $2(10$ Marks$)$ The product design and development team at CGH Manufacturing Enterprises has completed the development of a prototype of a product to be manufactured during the forthcoming quarter. The prototype passed through the three production departments $-$A$,$B $,$ and C $.$ The following budgeted information on the prototype is available: The following information relates to the prototype: $[[$Direct material requisitioned,R$97470\mathrm{.}43],[$Direct material returned to store,R$1396\mathrm{.}00]]$ Direct labour recorded against the prototype: $[[$Production department A$,146$ hours at R$48\mathrm{.}00$ per hour$],[$Production department B$,39$ hours at R$57\mathrm{.}00$ per hour$],[$Production department C$,279$ hours at R$61\mathrm{.}00$ per hour$]]$ A special machine was hired for the production of the prototype at a cost of R$590\mathrm{.}00.$ Machine hours recorded against the prototype: $[[$Production department A$,411$ hours$],[$Production department B$,657$ hours$],[$Production department C$,502$ hours$]]$ Price quoted for the prototype, including delivery R$172000.$ CGH Manufacturing Enterprises absorbs non$-$production overhead using the following pre$-$determined overhead absorption rates: $[[$Administration and general overhead,$10\%$ of production costs$],[$Selling and distribution overhead,$12\%$ of selling price$]]$ REQUIRED: The product design and development team is convinced that the manufacturing and non$-$manufacturing costs of the prototype are unlikely to be significantly different from those of the product. Therefore, present an analysis of the total cost and profit or loss attributable to a unit of the product. END OF PAPER