QUESTION $2$

$2\mathrm{.}1$ Discuss the objectives of financial statements.

$(6)$

$2\mathrm{.}2$ The following budgeted information is available for OBC Chicken and Rainbow Chicken:

$[$TURN OVER$]$

$\backslash$table$[[,$OBC Chicken,Rainbow Chicken$],[$Variable cost$,$R$300$ per crate,R$350$ per crate$],[$Fixed cost$,\backslash$table$[[$R$2000000$ per$],[$annum$]],$R$2400000$ per annum$],[$Interest on debt,R$9600000,$R$9400000],[$Expected demand,$100000,100000],[$Selling price,R$800,$R$800],[$EBIT$,?,?$