Question 5 (12 marks; 21.6 minutes) Global Defence is a manufacturer of military equipment. Its Camden plant manufactures the Interceptor Missile under contract to the Department of Defence and friendly countries. All interceptors go through an identical manufacturing process. Every effort is made to ensure that all interceptors are identical and meet many demanding performance specifications. The process costing system at the Camden plant has a single direct-cost category (direct materials) and a single indirect-cost category (conversion costs). Each interceptor passes through two departments: Assembly and Testing. Direct materials are added at the beginning of the process in Assembly. Conversion costs are added uniformly during the Assembly department's process. When the Assembly department finishes work on each interceptor, it is immediately transferred to Testing. Global Defence uses the weighted-average method of process costing. Data for the Assembly department for October 2021 are: vegree of completion: Direct materials, 100%; Conversion costs, 70% Required: 5.1 Prepare a production report. (16) 3515000 Question 6 (4 marks; 7.2 minutes) Place Corporation had the following income statement for the current year: Required: 6.1 Calculate the degree of operating leverage. 6.2 If sales increase by 20%, calculate the percentage change in income. 6.3 Calculate the expected operating income for next year. You are required to match each item with the corront atnt