Question
The following Cost Data for the year ended pertained to Novelty Incorporated, a Gift manufacturer. (Amount in Rs ) Service department costs(all services are provided
The following Cost Data for the year ended pertained to Novelty Incorporated, a Gift manufacturer.
(Amount in Rs )
Service department costs(all services are provided to manufacturing department) 50,000
Direct Labour:Wages 2,42,500
Direct Labour : Fringe Benefits 47,500
Indirect Labour Fringe Benefits 15,000
Fringe Benefits for Production Supervisor 4,500
Total Overtime Premium Paid (not included in direct labour wages given above) 27,500
Cost of Idle Time : Production employees 20,000
Administrative Costs 75,000
Rental of Office Space for Sales Personnel 7,500
Sales Commission 2,500
Product Promotion Costs 5,000
Direct Materials used 10,50,000
Advertising Expenses 49,500
Depreciation on Factory Building 57,500
Cost of Finished Goods Inventory at the year end 57,500
Indirect Labour Wages 70,000
Production Supervisor's Salary 22,500
Compute the following costs for the year just ended:
(a) Total prime costs;
(b) Total Manufacturing Overhead Costs;
(c) Total Conversion Costs;
(d) Total Product Costs
(e) Total Period Costs
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