PRODUCE
Since R is known and CONCERT = 1, then CON is disproved. So CONFUSE = 1 has to be one of the FUSE. Since one of FUSE is correct and PROFUSE = 1, the PRO is also disproved. Since OUTLAST = 0, the S is disproved. COMPARE = 1 disproves the E since the R is the correct letter. so of FUSE, only FU is left.
For PRODUCE, the PRO is disproved above as well as the final E. The C can not be correct since the R goes there. That leaves only the DU.
IF PRODUCE = 2, both the D and U are proven.
IF it = 0, both are wrong and the F in PROFUSE is proven.
If it = 1, D or U must be right. It can not be D since if U is wrong then F is right and F goes in that spot. So U is proven.