INCOME STATEMENT OF MAMB Ltd$.$ FOR THE YEAR ENDED $2023($R $000\text{'}$s$)$Hi$,$ Please kinldy assist with cash flow and show workings. QUESTION $1$

Happy Kids $($Pty$)$ Ltd $("$Happy Kids"$)$ is a small manufacturing company which

manufactures a customised wooden table and chair sets for children at competitive

prices. Happy Kids received a new order for a table and chairs set, named Job Wood

The following information relates to Job Wood $12$ :

Happy Kids has two departments, the Machine department and the Finishing

department, for which the production overhead absorption rate is R$5\mathrm{.}38$ per machine

hour and R$6\mathrm{.}19$ per direct labour hour, respectively.

REQUIRED:

$1\mathrm{.}1.$ Briefly discuss two $(2)$ differences between job costing and batch costing.

$(4$ marks$)$

$1\mathrm{.}2.$ Calculate the following for Job Wood $12$:

$($a$)$ Prime cost

$($b$)$ Production costs

$($c$)$ Selling price

ANNEXURE F: FORMATIVE ASSESSMENT $1$

Round your answers to two decimal places where required.

Show all your workings clearly.