Calculate the prime cost of goods manufactured given the following information for a manufacturing company.

Step 1: Calculate the Cost of Raw Materials Consumed.

$$\begin{align*} \text{Opening inventory of raw materials (1 July 2014)} &= \text{NS}3,600 \\ \text{Add: Purchases of raw materials} &= \text{NS}16,500 \\ \text{Add: Carriage inwards of raw materials} &= \text{NS}480 \\ \text{Less: Closing inventory of raw materials (30 June 2015)} &= \text{NS}2,800 \\ \text{Cost of raw materials consumed} &= \text{NS}3,600 + \text{NS}16,500 + \text{NS}480 - \text{NS}2,800 \\ &= \text{NS}17,780 \end{align*}$$

Step 2: Calculate Direct Labour Costs.
Total labour costs are NS14,000. Only 75% was for direct labour.

$$\begin{align*} \text{Direct Labour} &= 75\% \times \text{NS}14,000 \\ &= 0.75 \times \text{NS}14,000 \\ &= \text{NS}10,500 \end{align*}$$

Step 3: Identify Direct Expenses.
Royalties are a direct expense.

$$\text{Royalties} = \text{NS}2,300$$

Step 4: Calculate Prime Cost.

\begin{align*} \text{Prime Cost