Question
Wonderchoc is a chocolate manufacturer offering a wide range of chocolate bars, sweets, and truffles. The company has a 30 June financial year-end. You are
Wonderchoc is a chocolate manufacturer offering a wide range of chocolate bars, sweets, and truffles. The company has a 30 June financial year-end. You are the financial accountant at the company and are currently preparing the inventory accounts for June 2023, specifically for the chocolate bars. In preparation for the inventory accounts, you have obtained the following information relating to the chocolate bars as ar 1 june 23Raw materials 50 500 kg R101 000, work in progress 87 450 , finished goods 2890 bars units R72 250 .Raw materials: Wonderchoc (Pty) Ltd purchased 95 000 kilograms during the month of June 2023, amounting to R171 000. During the month of June 2023, 83 125 kilograms were used in production. Wages: Wage expense incurred during June 2023 amounted to R220 000. The wage expense was incurred as follows: Factory employees 82%, cleaning staff in the factory 6%, cleaning staff in the head off 4%, administration staff in the head office 8% Other conversion costs: Electricity for June 2023, amounting to R15 000, was paid for in cash. Wonderchoc (Pty) Ltd classifies electricity as a variable cost. Depreciation, which is also classified as a variable cost, amounted to R120 000. 80% of the depreciation relates to machinery used in the factory. This machine was idle for 25% of the time. 20% of the depreciation relates to equipment used in the head office.The June 2023 rental of the factory building amounted to R80 000 and was paid for in cash. Additional information: Budgeted normal production for June 2023 was 10,000 bars (units) of chocolate. Units put into production in June 2023 were 10 100 bars of chocolate. Cost of the completed, 9 870, chocolate bars during June 2023 amounted to R266 490. 80% of all finished goods were sold during June 2023. prepare the June 2023 GL accounts for: raw materials ,working in progress, and finished goods
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