ZuoTi.Pro
Question

Question 4 4.1    Prepare a Process I Account and Abnormal Loss Account from the following...

Question 4

4.1   

Prepare a Process I Account and Abnormal Loss Account from the following information. (13 marks) Input of Raw material 1000 units @ N$20 per Unit Direct Material N$4,200 Direct Wages N$6,000 Production Overheads N$6,000 Actual output transferred to process II 900 units Normal Loss 5% Value of Scrap per unit N$8 Note: It has been assumed that units of abnormal loss have also been sold at the same rate i.e. of Normal Scrap.

4.2 Caps Ltd produces four joint products. Joint costs for January 2019 were N$140 000. Data pertaining to the four products are as follows: Product Production units Further costs (N$) Selling price (per unit) Weighting A 10 000 3 000 N$5.50 3 B 40 000 6 000 N$1.60 2 C 30 000 5 000 N$1.50 4 D 20 000 10 000 N$3.00 2.5

Required: Allocate the joint costs to each product using the net realisable value method. (12 Marks)

business   accounting   
0 0
Add a comment Improve this question Transcribed image text
Next > < Previous
Sort answers by oldest

Homework Answers

Answer #1

0 0
Add a comment
Know the answer?
Add Answer to:
Question 4 4.1    Prepare a Process I Account and Abnormal Loss Account from the following...
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Log In

Sign Up

Not the answer you're looking for? Ask your own homework help question. Our experts will answer your question WITHIN MINUTES for Free.
Similar Homework Help Questions

  • Problem 5.4: Process Cost example with Normal Loss, Abnormal Loss, Abnormal Galli The following information is...

    Problem 5.4: Process Cost example with Normal Loss, Abnormal Loss, Abnormal Galli The following information is available about process B. 20000 units were transferred to process B @ Rs. 4 per unit. Normal loss in the production process is estimated @ 10% of process input. Output of process B is transferred to finished stock account. Amount (Rs. '000) Particulars Labor Cost 1000 Materials 4000 Proportionate share of factory overhead 700 You are required to prepare the process cost account for...

  • Question 7. A firm produces three items from a single process in batches containing 40 units...

    Question 7. A firm produces three items from a single process in batches containing 40 units A (a by-product), 100 units B, 100 units C. Separable costs and selling prices are:    Joint process costs are $30 000 per batch. What is the amount of joint costs that would be allocated to B using the net realisable value method, and treats by-product revenue as a reduction of the cost of the principal products? A. $7000 B. $7500 C. $15 000...

  • Wilkin Products Ltd. makes a single product using two processes. Quality control check takes place during...

    Wilkin Products Ltd. makes a single product using two processes. Quality control check takes place during the process, at which point, rejected units are separated from good units. The following details relate to production for the month of April 20X7, for Process 2. (i) Work-in-process, beginning inventory: -0- (ii) Transfer from Process 1: 15,000 units valued at $51.40 each (iii) Other manufacturing costs incurred during April: Direct material added $513,000 Direct labour   $365,000 Manufacturing overhead   $211,000 (iv) Normal losses were...

  • Case 4: From the following data collected from the cost sheet of Bahwan LLC. Cutting Polishing...

    Case 4: From the following data collected from the cost sheet of Bahwan LLC. Cutting Polishing Materials RO 17000 RO 13000 Labor RO 1500 RO 2400 Other expenses RO 1600 RO 1500 Input introduced 600 units Normal Loss of input 10% 5% Value of scrap per ten-unit RO 150 RO 200 Output of process 500 450 Indirect expenses amounting to RO 3000, Question: (1 + 9 - 10 Marks) a. Apportioned indirect expenses based on materials. b. Prepare process account,...

  • HULLI MANAGEMENT QUESTION 4 4.1 REQUIRED (20) the information provided below to calculate the overhead costs...

    HULLI MANAGEMENT QUESTION 4 4.1 REQUIRED (20) the information provided below to calculate the overhead costs per unit for each product using activity-based costing, INFORMATION max Inc produces two products viz. A and B. The same equipment is used to produce both products. Details of the cost of activities, inputs and outputs are as follows: Overheads cost analysis: Materials handling Materials procurement Set-up Quality control Production 540 000 180 000 540 000 900 000 2 160 000 4 320 000...

  • DPC manufactures medical testing strips in a continuous process environment. Direct materials are added at the...

    DPC manufactures medical testing strips in a continuous process environment. Direct materials are added at the beginning of the process. Conversion costs are added throughout the manufacturing process. The manufacturer has a computer-aided quality control step that rejects 1.5% of the production for defects. Requirements: Compute the numbers for normal and abnormal spoilage. Compute the equivalent units. Compute the cost per unit completed and transferred out of the process. Summarize the total costs to account for, compute the cost per...

  • this is all the info given and the topic is "Product Costing" Assignment #3 _Product Costing PART 1 (25 marks) G-Fo...

    this is all the info given and the topic is "Product Costing" Assignment #3 _Product Costing PART 1 (25 marks) G-Force Woodcraft manufactures customized household furnishings. The company uses a perpetual inventory system and has a highly labour intensive production process, so it assigns manufacturing overhead based on direct labour cost. G-Force expects to incur $2,205,000 of manufacturing overhead costs and estimated direct labour costs of $3,150,000 during 2016. At the end of December 2018, G-Force reported work in process...

  • (22 marks) QUESTION 1 Sheefeni CC normally produces and sells 40 000 units of product A each year. The company'...

    (22 marks) QUESTION 1 Sheefeni CC normally produces and sells 40 000 units of product A each year. The company's cost structure at this level of activity is given below: Total Per unit N$ N$ Direct materials Direct labour 320 000 Total production overheads (see note 2) Variable selling expenses Fixed selling expenses (see note 3) 2 3 4 320 000 Total 22 Additional notes: 1. Product A normally sells for N$35 per unit. 2. It has been observed that...

  • Applied manufacturing overheads are overheads allocated to the production process according to a tariff, based on...

    Applied manufacturing overheads are overheads allocated to the production process according to a tariff, based on the budgeted overheads and expected capacity utilization. The following is the budget of a car manufacturing company XYD: Total Per unit Budgeted production (units) 1500 Budgeted direct material cost R20 000 R14.00 Budgeted direct labor cost R45 000 R30.00 Budgeted manufacturing overheads R12 000 Fixed variable R8 000 R 4 000 Budgeted direct labor hours 4 000 3 Budgeted machine hours 3000 2 Answer...

  •    Assignment #3 _ Product Costing PART 1 (25 marks) G-Force Woodcraft manufactures customized household furnishings....

       Assignment #3 _ Product Costing PART 1 (25 marks) G-Force Woodcraft manufactures customized household furnishings. The company uses a perpetual inventory system and has a highly labour intensive production process, so it assigns manufacturing overhead based on direct labour cost. G-Force expects to incur $2,205,000 of manufacturing overhead costs and estimated direct labour costs of $3,150,000 during 2016. At the end of December 2018, G-Force reported work in process inventory (Job 551) of $93,000 The following events occurred during...

ADVERTISEMENT
Free Homework Help App
Download From Google Play
Scan Your Homework
to Get Instant Free Answers
Need Online Homework Help?
Ask a Question
Get Answers For Free
Most questions answered within 3 hours.
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT