Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Illustration 1 The following particulars have been extracted from the books of a manufacturing company for the month of March, 2014: Stock of materials as
Illustration 1 The following particulars have been extracted from the books of a manufacturing company for the month of March, 2014: Stock of materials as on 1st March, 2013 Stock of materials as on 31st March, 2013 Materials purchased during the month Drawing office salaries Counting house salaries 47,000 50,000 2,08,000 9,600 14,000 a42 Carriage on purchases 8,200 Carriage on sales 5,100 Cash discount allowed 3,400 Bad debts written off 4,700 Repairs of plant, machinery and tools 10,600 Rent, rates, taxes and insurance (factory) 3,000 Rent rates, taxes and insurance (office) 1,000 Travelling expenses 3,100 Travellers' salaries and commission 8,400 Productive wages 1,40,000 Depreciation written off on plant, machinery and tools 7,100 Depreciation written off on office furniture 600 Directors' fees 6,000 Gas and water charges (factory) 1,500 Gas and water charges (office) 300 General charges 5,000 Manager's salary 12,000 Out of 48 working hours in a week, the time devoted by the Manager to the factory and office was on an average 40 hours and 8 hours respectively throughout the month. 1,00,000 units were produced and sold there was no opening or closing stock of it. Prepare a cost sheet showing the following: 0) Cost of Materials Consumed; (II) Prime Cost; () Works Overhead; (iv) Works Cost: (1) Office and Administration Overhead; (vi) Cost of Production; (vii) Selling and Distribution Overhead, and (viii) Total Cost or Cost Sales
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started