S Industrial Limited has the following information relating to one of its production processes for the month of March 2023:

Opening work in progress was 2,000 units at K24,800 and its breakdown was:

Degree of Completion K Materials input 100% 12,000

Labour 40% 10,000

Overheads 30% 2,800

24,800

Costs incurred during the period were:

Materials input 10,000 units at K72,500

Labour K36,000

Overheads K25,800

Closing work in process were 3,000 units and their degree of completion of Individual components were:

Materials input 100%

Direct labour 60%

Overheads 40%

Normal loss was 10% of the materials input during current period. The scrap value of loss was K5 per unit. 1,200 units were scrapped during the month. It is the companys cost accounting policy to deduct the scrap value of normal loss from the cost of materials input in the current process.

REQUIRED:

Prepare the following accounts for the month of March 2023 using the first in first out method:

(i)Process account (15 marks)

(ii)Abnormal loss account ( 5 marks