A product passes through two processes, A and B. Output of process A is transferred to process B at cost plus 25 per cent and finished output of B is similarly transferred to finished stock at cost plus 25 per cent. There is no work-in-progress in any process on December 31. At this date, the following information is further available:

Out of the finished stock, a portion remained at hand valued at ₹11,000 and the balance was sold for ₹58,000.
Prepare process accounts and the finished stock account. Question of overheads and opening stock is to be ignored. Also show how much reserves will be created for the unrealised profit.

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Process A Process B Materials consumed *8,000 *24,000 Wages 12,000 16,000 Closing stock (valued at prime cost) 4,000 12,000