The following figure are available from financial accounts for the year ending 31st March, 2002: 

Factory overhead recovered at 20% on prime cost. 

Administration overhead at Rs. 3 per unit of production. 

Selling and distribution overhead at Rs 4 per unit sold.

Prepare:

1. Costing profit and loss account. 

2. Financial profit and loss account. 

3. Statement reconciling the profits disclosed by the costing profit and loss account and financial profit and loss account.

Transcribed Image Text:

Direct material consumption Direct wages Factory overheads Administration overheads Selling and distribution overheads Bad debts Preliminary expenses (written off) Legal charges Dividend received Interest on deposit received Sales 1,20,000 units Closing stock: Finished stock = 40,000 units Work-in-progress The cost accounts reveal: Direct material consumption-Rs. 2,80,000 Rs. 2,50,000 1,00,000 3,80,000 2,50,000 4,80,000 20,000 10,000 5,000 50,000 10,000 7,00,000 1,20,000 80,000