Read through the data below answer the questions that follows:

KwaZulu-Natal Technikon A Technikon in KwaZulu-Natal offers a range of degree courses. The Technikon's organisational structure consists of three faculties, each with a number of training departments. In addition, there is an administrative function and a central services function The following cost information is available for the year ended 30 December 2017 1.Occupancy costs Total R1 500 000. Such costs are apportioned on the basis of area used which is as follows Square feet Faculties Training departments Administration Central services 7 500 20 000 7 000 3 000 2. Administration Direct costs: R1 775 000 Indirect costs: an apportionment of occupancy costs Direct and indirect costs are charged to degree courses on a percentage basis 3. Faculty costs Direct costs: R700 000