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Cost Sheet-3
Cost Sheet-3
Cost Sheet-3
Assuming that all products manufactured are sold, what should be the selling price be
fixed to obtain a profit of 20% on selling price.
Mr. Zia furnishes the following data related to the manufacture of a standard product of
August 2008
Raw material consumed- Rs 15,000
Direct labour – Rs. 5,000
Direct Expenses – Rs.4,000
Machine hours worked - 900 Hours
Machine hour rate - Rs 5
Administration overheads - 20% of works cost
Selling overheads - Rs 0.50 per unit
Unit produced: 17,100 Units
Unit sold - 16,000 @ Rs 4 per unit
You are required to prepare a cost sheet from the above showing:-
(a) The cost per unit
(b) Cost per unit sold and profit for the period
You are required to compute the cost per units, selling price per unit and
determine the profitability assuming sale of 3000 units. Provided herewith the
information for production of one batch of tablets.