Subject: Cost management & accounting

Q.7) Compute: i) Direct Labour ii) Conversion Cost

Factory Cost = Rs. 500,000 Prime Cost = three-fifth of the Factory Cost. Direct Material = one-fifth of the Factory Cost.

Q.8) Compute: i) Direct Labour ii) Conversion Cost

Factory Cost = Rs. 800,000 Prime Cost = three-fourth of the Factory Cost. Direct Material = one-third of the Prime Cost.