Solve the following mention questions:

1) A product passes through three processes. The output of each process is treated as the raw material of the next process to which it is transferred and output of the third process is transferred to finished stock.

Process-I ($)

Process-II ($)

Process-III ($)

Materials issued

40,000

20,000

10,000

Labour

6,000

4,000

1,000

Manufacturing overhead

10,000

10,000

15,000

10,000 units have been issued to the Process-I and after processing, the output of each process is as under:

Process

Output

Normal Loss

Process-I

9,750 units

2%

Process-II

9,400 units

5%

Process-III

8,000 units

10%

No stock of materials or of work-in-process was left at the end. CALCULATE the cost of the finished articles.

2) During the current month, KRC Company incurs the following manufacturing costs:

Raw material purchases of $4,200 on Incurs factory labor of $18,000. Of that amount, $15,000 relates to wages payable and $3,000 relates to payroll taxes Factory utilities of $2,200 are payable, prepaid factory insurance of $1,800 has expired, and depreciation on the factory building is $3,500. Prepare journal entries for each type of manufacturing cost.

3)

XL Ltd., has three production departments and four service departments. The expenses for these departments as per Primary Distribution Summary are as follows:

Production Departments:

($)

($)

A

3,000,000

B

2,600,000

C

2,400,000

8,000,000

Service Departments:

($)

($)

Stores

4,00,000

Time-keeping and Accounts

300,000

Power

160,000

Canteen

100,000

960,000

Write down the analysis part of the all above mentions questions otherwise assignment will not accepted.