question 1 The following information has been taken from the Ledger of Numan Corporation for the year ended on June 30, 2015.

Stock of material, June 30 2015

Rs. 15,700

Stock of materials, July 1, 2014

12,000

Material purchased during the year

46,250

Carriage outward

1,075

Carriage inward

1,786

Salaries Factory

1,625

Salaries Office

3,150

Discount Expenses

725

Bad debts written off

1,628

Repairs of plant, machineries and tools

1,113

Rent and insurance Factory

2,125

Rent and insurance Office

500

Sales

115,275

Travelling Expenses

525

Travelers salaries and commission

1,925

Productive wages

31,500

Depreciation of machinery and tools

1,625

Depreciation of office furniture

75

Directors fees

1,500

Gas, and water Factory

300

Gas and water Office

100

Managers salary (3/4th factory, 1/4th office)

2,500

General Expenses

850

Calculate Factory Cost for the year ended June 30, 2015.

question 2

Calculate amount of sales when variable costs are equal to 2/5th of sales and fixed costs are equal to 150,000. Ans: 250000.

ABC Enterprises Corporation's single product appear below:

Selling Price Per Unit

Rs. 150

Variable Expense Per Unit

90

Fixed Expenses for the month

424,840

The unit sales to attain the company's monthly target profit of Rs. 50,000 is closest to:

question 3 Nizar Corporation had only one job in process on June 1, the job had been charged with Rs.3,400 of direct materials, Rs.4,640 of direct labor, and Rs.9,200 of manufacturing overhead cost. The company assigns overhead cost to jobs using the predetermined overhead rate of Rs.23.00 per direct labor-hour.

During June, the following activity was recorded:

Raw materials (all direct materials):

Beginning balance

8,500

Purchased during the month

42,000

Used in production

49,500

Labor:

Direct labor-hours worked during the month

2,250

Direct labor cost incurred

27,520

Actual manufacturing overhead costs incurred

52,800

Inventories:

Raw materials, June 30

?

Work in process, June 30

34,190

Work in process inventory on June 30 contains Rs.7,940 of direct labor cost.

Calculate amount of Cost of Goods Manufactured for the month of June?

question 4

Calculate Break-Even Point sales, when total sales, total variable costs and fixed costs are 300,000, 200,000 and 50,000 respectively.

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