FINANCIAL ACCOUNTING
Question Three The following information relates to Marula Processors for the year ended 28 February 2020: Balances on 1 March 2019: Raw materials inventory R 458 912.00 Work-in-process inventory R 109 047.34 Finished goods inventory R 555 430.05 Transaction totals for the year ended 28 February 2020: Credit purchases of raw materials R2 279 482.37 Freight on raw material purchases (on credit) R 368 446.24 Indirect material purchased on credit R 576 772.33 Sales of finished products R 37 000 709.08 Direct labour: Factory wages R2 737 332.57 Pension fund contributions paid by employer R 512 002.24 Medical aid contributions paid by employer R 740 502.61 UIF contributions paid by employer R 27 373.00 Indirect labour R 1 527 830.81 Security: Factory R 917 824.00 Administrative offices R 801 981.11 Rates and levies: Factory R 196 858.60 Administrative offices R 500 216.20 Insurance: Factory R 473 367.73 Administrative offices R 249 524.11 Internet: Factory R 284 341.88 Administrative offices R 424 721.89 Selling and administrative costs R 1 244 964.54 Stationery R 135 592.46 Salaries of administrative staff R 1 890 580.28 Sales returns of finished products R 212 501.20 Consumable stores (Indirect materials) issued to the factory R 477 812.13 Depreciation on factory machinery R 365 260.82 Balances on 28 February 2020 Work-in-process goods on hand R 1 409 864.25 Raw materials on hand R 334 362.31 Finished products on hand R 1 666 927.23 Required: Prepare the production cost statement, the trading statement and the notes to the financial statements of Marula Processors for the year ended 28 February 2020. Question Three The following information relates to Marula Processors for the year ended 28 February 2020: Balances on 1 March 2019: Raw materials inventory R 458 912.00 Work-in-process inventory R 109 047.34 Finished goods inventory R 555 430.05 Transaction totals for the year ended 28 February 2020: Credit purchases of raw materials R2 279 482.37 Freight on raw material purchases (on credit) R 368 446.24 Indirect material purchased on credit R 576 772.33 Sales of finished products R 37 000 709.08 Direct labour: Factory wages R2 737 332.57 Pension fund contributions paid by employer R 512 002.24 Medical aid contributions paid by employer R 740 502.61 UIF contributions paid by employer R 27 373.00 Indirect labour R 1 527 830.81 Security: Factory R 917 824.00 Administrative offices R 801 981.11 Rates and levies: Factory R 196 858.60 Administrative offices R 500 216.20 Insurance: Factory R 473 367.73 Administrative offices R 249 524.11 Internet: Factory R 284 341.88 Administrative offices R 424 721.89 Selling and administrative costs R 1 244 964.54 Stationery R 135 592.46 Salaries of administrative staff R 1 890 580.28 Sales returns of finished products R 212 501.20 Consumable stores (Indirect materials) issued to the factory R 477 812.13 Depreciation on factory machinery R 365 260.82 Balances on 28 February 2020 Work-in-process goods on hand R 1 409 864.25 Raw materials on hand R 334 362.31 Finished products on hand R 1 666 927.23 Required: Prepare the production cost statement, the trading statement and the notes to the financial statements of Marula Processors for the year ended 28 February 2020
