Question
J. Salim is a manufacturer. His trial balance at December 31 2019 is as follows Shs Shs Delivery van expenses 2,500 Lighting and heating: Factory
J. Salim is a manufacturer. His trial balance at December 31 2019 is as follows
Shs | Shs | |
Delivery van expenses | 2,500 | |
Lighting and heating: Factory | 2,859 | |
Office | 1,110 | |
Manufacturing wages | 45,470 | |
General expenses: Office | 3,816 | |
Factory | 5,640 | |
Salesmen's commission | 7,860 | |
Purchase of raw materials | 39,054 | |
Rent: Office | 2,200 | |
Factory | 4,800 | |
Machinery (cost shs 50,000) | 32,500 | |
Office equipment (cost shs 15,000) | 11,000 | |
Office salaries | 6,285 | |
Debtors | 28,370 | |
Creditors | 19,450 | |
Bank | 13,337 | |
Sales | 136,500 | |
Premises (cost shs 50,000) | 40,000 | |
Stock as at 31 December 2018 | ||
Raw materials | 8,565 | |
Finished goods | 29,480 | |
Drawings | 8,560 | |
Capital | 137,456 | |
293,406 | 293,406 |
NOTES:
. Give effect to the following adjustments.
a) Stock at 31 December 2019: Raw materials shs 9.050, finished goods shs 31,200 there is no work in progress.
b) Deprecate machinery shs 2,000, office equipment shs 1,500, premises shs 1,000.
c) Manufacturing wages due but unpaid at 31 December 2019 shs 305, office rent prepaid shs 108.
Required:
Please fill in the gaps in the questions given below. The amounts should be filled in without any spaces or commas in the numerals.
1) The figure for the prime cost is shs
2) total factory overhead expenses are shs
3) The amount for production cost of completed goods is shs
4) The cost of goods sold is an amount of shs
5) The gross profit for Salim's business is shs
6) The net profit for this business works out to shs
7) The net book values of all the fixed assets total shs
8) Total current assets in the balance sheet are shs
9) Total current liabilities in the balance sheet are shs
10) The net assets or capital employed on the balance sheet works out to shs
Step by Step Solution
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Step: 1
1 The figure for the prime cost is shs Opening Raw Material 8565 Add Purchase of Raw Material 39054 Less Closing Raw Material 9050 Direct Material Cos...Get Instant Access to Expert-Tailored Solutions
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