In PSA Secret Mission #2, a secret agent (the player) was assigned to test the sled and then report to G to explain the results.
During the test run, the sled falls apart and you crash in The Wilderness. When you were rescued, you would report to G and tell him the sled fell apart. The sled later gets rebuilt and put on display in the Gadget Room, and had not been used since.
The steering wheel is the pot you use to get water in Mission 2.
It is impossible to get through the Test Run course with the Prototype Sled without any damage. If you got through all the rocks, stumps, and signs, there will be wood blocking the path so you have to go into the wilderness.