Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

please slove this time is very short APSP please Q#2) M/s. ABC and Co. presented the following data on 15 January 2008:- Material A 15000

image text in transcribed

please slove this time is very short APSP please

Q#2) M/s. ABC and Co. presented the following data on 15 January 2008:- Material A 15000 units @ 5 Rs. Per unit, Material B 10000 units @ 6.5 Rs. Per unit WIP 35000 Rs. , FG 77000 Rs. During the period company purchased 70000 units of Material A and 40000 units of material B. The prices were 5% more then the last year prices for both of the materials. Material produces 2 units of finished good and each unit of finished good requires 2 hours of labor and 1.5 hours of machine. Labor is paid @ 3 Rs. Per hour and FOH is applied @ 2.5 Rs. Per machine hour. At the end of the period 2000 units of Material A were in hand. 5000 units of Material B were also in hand. It is the companies strategy to maintain the opening and closing inventories of WIP and FG same. In the last year the company constructed its price by taking 40% margin which the company is planning to increase 5% more by this time. Marketing and administrative expenses are 5% of margin. Required: - Construct an income statement for the period

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

More Books

Students also viewed these Accounting questions

Question

What lessons in intervention design, does this case represent?

Answered: 1 week ago