INSTRUCTIONS AND REQUIREMENTS: Product = Charcoal Flavor Ice Cream 1. Design your product and give it a name/logo, provide a description of its functions and visual/picture of it (this can be your own drawing or an image from the internet with your product brand/logo assigned to the image). Critically explain why you selected your product (i.e. will there be a demand for it? How is it similar or different to existing products in the market? will it solve any social, environmental or financial issues? etc.) (approximately 150 words and please substantiate any claims you make). 2. Identify and estimate your upstream activities (R&D and design) and costs for your product. As you will be undertaking the R&D and product design activities, assign yourself an hourly R&D wage rate based on market research (i.e. search the internet) and provide detailed explanations and records (log with dates and timing of your activities) about your upstream processes/steps/activities for your chosen product. 3. Undertake market research (i.e. search the internet) to estimate and determine the cost of your product's direct materials, direct labour and manufacturing overheads (fixed and variable). Clearly list and determine the quantity and types of direct materials, direct labour and manufacturing overheads that will be required to produce one unit of your product and calculate your products per unit cost. Explain the approach/method and activity level you used to calculate the overhead cost per unit and clearly differentiate/list fixed and variable manufacturing overheads. 4. During the month, the cost of your beginning inventory was $60,000 and ending inventory equalled $60,000, and you purchased materials to produce 60,000 units of your product. Calculate the cost of direct materials purchased and used in production for the month. 5. During the month, the cost of your beginning work in process was $150,000 and ending was $150,000. Calculate the cost of goods manufactured using a cost of goods manufactured statement/schedule for 60,000 units of your product produced for the month. 6. During the month, the cost of your beginning finished goods was $200,000 and ending finished goods equalled $200,000. Prepare a cost of goods sold statement for the month to calculate the cost of goods sold for 60,000 units sold for the month. 7. Determine the price of your product per unit and critically explain how you determined the price (i.e. explain and justify the pricing method, cost base and mark-up you selected and used, and how your products price compares to competitors prices if there are any). 8. Undertake market research to identify and estimate your downstream activities and costs for your product for the month (i.e. marketing, packaging, handling, distribution and so forth) and explain in detail how you will market and distribute your product to consumers. 9. Prepare an income statement using the absorption costing method for the month for the 60,000 units sold. Company tax rate is 30%. Make sure to include all relevant expenses for the month. 10. Reflection: provide a written reflection about the knowledge and skills you developed from this assignment, and which parts/sections of this assignment you enjoyed the most and found practical and which requirements you found the most challenging and/or difficult.