Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Q # 8 The following accounting information have been obtained from XYZ Corporation at June 30 th , 2018 Material was purchased on credit from
Q # 8
The following accounting information have been obtained from XYZ Corporation at June 30th, 2018
- Material was purchased on credit from supplier for Rs. 100,000.
- Defective material returned to supplier worth Rs. 5,000
- Material and Labour used on jobs were as under:
|
| Direct Materials | Direct Labour |
| Job No. 1 | Rs. 12,000 | Rs. 17,000 |
| Job No. 2 | 7,000 | 8,000 |
| Job No. 3 | Rs. 10,000 | Rs. 9,000 |
| Job No. 4 | 5,000 | 4,000 |
| Job No. 5 | 11,000 | 14,000 |
| Indirect Material/Labour | 2,000 | 3,000 |
- Other FOH cost incurred Rs. 5,000
- FOH is applied at 90% of Direct Labour.
- Depreciation on Machinery Rs. 4000
- Jobs no. 1, 3 and 4 were completed and Job no. 3 and 4 were sold to customer at Rs. 70,000 and Rs. 90,000 respectively.
Required
Prepare the necessary entries to record the above transactions.
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access with AI-Powered 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