QUESTION 2 Ubombo Manufacturers The business produces one type of mechanical pencil. INFORMATION: The following information was extracted from the financial records of Ubombo Manufacturers ers on 31 October 2013, the end of the financial year. R 1 620 000 3 540 000 Administration cast Direct Raw material cost Factory overhead cost Selling and distribution cost Direct labour cost 1 654 000 1 206 000 2 5 490 000 Prime cost 7 050 000 75 200 Total cost of production of finished goods Work-in-process (1 November 2012) Work-in-process (31 October 2013) Sales ? 12 780 000 6 674 000 Cost of sales REQUIRED: 1.1.1 Prepare the Production Cost Statement 1.1.2 750 000 pencils were produced during the financial period. Calculate the cost of production per unit. 1.1.3 Calculate the net profit