QI, AI Nada Oil Company is listed in Muscat Securities Market. Amount 57000 28500 2500 500 1000 Sr. No. Particulars 1 Direct Material 2 Direct Wages 3 Factory Rent 4 Office Rent 5 Plant repair and maintenance 6 Plant Depreciation 7 Factory Heating and lighting 8 Factory Manager Salary 9 Office Salaries 10 Directors Remuneration 11 Telephone and Postage 12 Printing and Stationary 13 Legal Charges 14 Advertisement 15 Salesmen Salary 16 Showroom Rent 17 Sales 1250 400 2000 1600 1500 200 100 150 1500 2500 500 116000 a. You are required to prepare a Cost Sheet from the relevant information provided in Al Nada Oil Company (5 Marks) b. List Down 10 Sales and Distribution Overheads Example, which are not mentioned in above Al Nada Oil Company. (2 Mark) Q2. Al Maha Company provided following information for three-Month period from October, November and December. There was no Opening stock for the month of October. Purchases done on 2 October 200 units @ 12 per unit, 8 October 150 units @14 per unit, 17 October 225 units @13 per unit 25 October 300 units @ 12 per unit and Issues were made on 3rd October 125 units, 15 October 200 units and 30 October 150 units. Stock on 14 November 150 units @OMR 22 per unit On November 4, Purchased 320 units @OMR 30 November 12, purchased 215 units @OMR 35, November 15, purchased 200 units @ OMR 40. November 28, purchased 200 units @OMR 47, November 5, issued 225 Units, November 14, issued 190 units, November 20, issued 200 units, November 25, issued 250 units, November 30, Issued 90 units. Stock on 1 December 130 units @ OMR 47 per unit and Purchases done on 5 December 200 units @ 52 per unit, 9 December 150 units @54 per unit, 17 December 225 units @ 53 per unit 26 December 300 units @ 49 per unit and Issues were made on 7th December 225 units, 10 December 200 units and 19 December 150 units. a. Prepare stock register using Weighted Average Method for the Period of November. (5 Marks) b. Explain with example applicability of LIFO and FIFO method (2 Mark) Q3. Al Rafa International provided following information. The three basic processes of garment production are cutting, sewing and pressing. According to the Labour department there are 10 sewing operators, 5 cutting operators and 8 pressing operators, the Standard rate per hour for operators is OMR 25, Normal rate per hour is OMR 30, Normal rate per unit is OMR 20. Working hours per day are 8 hours, Standard Output per hour is 135 units. Five workers Khalid, Rashid, Ahmed, Khamis and Nasir were engaged in the work of cutting and receives earnings by using Merrick Differential Piece Rate System. The Output is as follows Khalid 995 units, Rashid 520 units, Ahmed 900 units, Khamis 1020 units and Nasir 1140 units. a) Calculate the earnings of all the five workers of cutting operators. (6 Marks) b) Identify which of the worker performance is less than 75% among all. (1 Marks)
