materials at Rs.5 per kg were issued to the first process. Direct wages amounted to Rs.900 and production overhead incurred was Rs.500. Normal loss is estimated at 10% of input. This wastage is sold at Rs.3 per kg. The actual output is 1850 kg. Prepare process I A/c and Abnormal Gain/ Abnormal loss A/c as the case may be. Kg Rs. To Materials To Direct wages To Production OH To Abnormal gain (Bal.) 200 Process I Account Kg Rs. 2000 10000 By Normal loss (Sale of 900 scrap ) 500 By Process II - transfer 50 3009 600 11100 1850 2050 11700 2050 11700 S53 Abnormal Gain A/C Kg Rs. Kg Rs. 150 By Process I Alc 50 300 To Normal loss (loss of 50 income) To Costing P&L A/c (Bal.) 150 50 300 50 300 Working note: 1. (200+1850)-2000=50 2. (10000+900+500)-600 = Rs.6 1850-50 1850x6=11100 3. 50x6=30 Illustration 6: The product of a company passes through three distinct processes to completion - A,B and C. from the past experience it s ascertained that loss incurred in each process as - A-2%, B-5% and C-10%. In each case the percentage of loss is computed on te number of units entering the process concerned. The loss of each process possesses a scrap value. The los of processes A and B sold at Rs.5 per 100 units and that of C at Rs.20 per 100 units. The output of each process passes immediately to the next process and the finished units are passed from process Cinto stock. Process A Process B Process C Materials consumed 6000 4000 2000 Direct labour 8000 6000 3000 Manufacturing expenses 1000 1000 1500 20000 units have been issued to process A at a cost of Rs.10000. the output of each process has been as under: A-19500, B- 18800 and C - 16000. There is no work in progress in any process. Prepare process accounts. Calculations should be made to the nearest rupee