(a) Zico Ltd. has its factory at two locations viz Nasik and Satara. Rowan plan is used at Nasik factory and Halsey plan at Satara factory. Standard time and basic rate of wages are same for a job which is similar and is carried out on similar machinery. Normal working hours is 8 hours per day in a 5 day week. Job at Nasik factory is completed in 32 hours while at Satara factory it has taken 30 hours. Conversion costs at Nasik and Satara are 5,408 and 4,950 respectively. Overheads account for 25 per hour. Required: (i) (ii) To find out the normal wage; and To compare the respective conversion costs. (10 Marks) (b) A product passes through two distinct processes before completion. Following information are available in this respect: Raw materials used Raw material cost (per unit) Transfer to next process/Finished good Normal loss (on inputs) Direct wages Direct expenses Process-1 10,000 units 775 9,000 units 5% (i) Process-1 and Process-2 Account (ii) Finished goods Account (iii) Normal Loss Account (iv) Abnormal Loss Account (v) Abnormal Gain Account. *3,00,000 50% of direct wages 25% of direct wages Process-2 8,200 units 10% *5,60,000 65% of direct wages 15% of direct wages Manufacturing overheads Realisable value of scrap (per unit) 13.50 * 145 8,000 units of finished goods were sold at a profit of 15% on cost. There was no opening and closing stock of work-in-progress. Prepare: (10 Marks)