Question

PROBLEM AMOUNT IN DHS. 54,000 27,500 61,500 48,500 24,750 66,750 280,000 2,150 6,650 175,000 7,500 8,200 PARTICULARS Raw Material (as on January 01. 2019) Work-in-Progress (as on January 01, 2019) Finished Goods (as on January 01, 2019) Raw Material (as on January 31, 2019) Work-in-Progress (as on January 31, 2019) Finished Goods (as on January 31, 2019) Material Purchased Carriage Inward for Raw Material Material destroyed by fire Productive Wages Wages of Storekeeper Depreciation on Machinery Factory Rent Electricity Bill of Factory Renovation of Factory Premises Machinery Repairs and Maintenance Office Cleaning Depreciation on Office Computers Office Telephone Bill Office Manager's Salary Office Stationery Fuel in Office Car Legal Charges Salesperson Salary Warehouse Rent Freight Outwards Depreciation of Delivery Van Showroom Rent and Taxes Advertisement 14,000 6,700 9,300 2,500 900 3,500 650 11,000 1,700 2,750 850 7,750 4,500 550 2.350 8,500 5,000

Answer 1

Answer is given below

Total Cost Unit Cost Cost Sheet Particulars Opening inventory of Raw Material Add: purchases Add: Carriage inward Total Direct Material Available Less: Material destroyed by Fire $54,000 $280,000 $2,150 $336,150 $6,650 $329,500 $48,500 $21.23 Less: Closing inventory of Raw Material Raw material consumed Direct Labor Prime Cost $281,000 $175,000 $456,000 $13.22 $34.45 Wages of Store keeper Depreciation on Machinery Factory rent Electricity bill of factory Renovation of factory premises Machinery repairs and maintenance $7,500 $8,200 $14,000 $6,700 $9,300 $2,500 $3.64 $38.09 Add: Opening work in progress $48,200 $504,200 $27,500 $531,700 $24,750 $506,950 $38.30 Less: Closing work in progress Works Cost Office and Administration overheads Office Cleaning Depreciation on Office Computers Office telephone bills Office manager salary Office Stationary Fuel in Office Car Legal charges $900 $3,500 $650 $11,000 $1,700 $2,750 $850 $1.61 $39.91 Add: Opening Finished Goods $21,350 $528,300 $61,500 $589,800 $66,750 $523,050 $39.52 Less: Closing Finished Goods Cost of Production of Goods Sold Selling and Distribution expenses Sales person salary Warehouse rent Freight outward Depreciation on Delivery vehicles Showroom Rent and Taxes Advertisement Total cost or Cost of Goods Sold Add: Profit Sales Revenue $7,750 $4,500 $550 $2,350 $8,500 $5,000 $28,650 $551,700 $110,100 $661,800 $2.16 $41.68 $8.32 $50.00