A product is produced in three consecutive processes.

The details are shown as follows:

Management expenses were Rs. 17,500 and selling expenses Rs. 10,000. Two-thirds of the output of Process I and one-half of the output of Process II are passed on to the next process and the balances are sold. The entire output of Process III is sold.
Prepare the three process accounts and a statement of profi t.

Transcribed Image Text:

Process Process II Process III (i) Raw materials used 2,00,000 1,000 tonnes (Rs.) (ii) Wages 87,500 39,500 10,710 (iii) Weight lost 5% 10% 20% (% of input of the process)