Solution 1

Particulars Opening Stock of RM Add - Pur of RM Less- Closing stock of RM Cost of Material Consumed Direct Wages Chargeable exp Prime Cost Factory Cost:Rent Motive Power Heating Insurance Experimental expenses Waste Materials

Cost sheet
Rs 25000 250000 275000 20000 Total Cost Cost Per Unit

255000 100000 10000 365000

25000 10000 10000 5000 2500

1000

Particulars

Rs 53500

Total Cost

Cost Per Unit

Add- opening stock Of WIP

900 54400

Less- closing stock of WIP

3000

51400 416400

8.03 65.06

Work Cost Office on cost Salaries Printing Cost of production Add- opening stock of FG

20000 1000

21000 437400 20000 457400 25000 432400

3.28 68.34 ----68.34 ----72.066

Less- closing of FG

Particulars Selling & Distribution O/H Salary Commission Free Samples Other Selling exp Cost of Sales Profit 1/3 on cost Sales WORKING NOTES:-

Rs

Total Cost

Cost Per Unit

10000 5000 500 1200 16700 449100 149700 598800 2.784 74.85 24.95 99.80

Calculation of other selling expenses on units sold Units produced Add- opening stock of FG 6400 units 400 units 6800 units 800 units 6000 units

Less- closing stock

Units sold

Particulars

Rs

Total Cost

Cost Per Unit

For 6000 units @ Rs. 0.20p = Rs. 1200 (2) Calculation of Profit on cost price

Selling Price= Cost Price + Profit 100 = 75+25 = 25/75 * 449100 = 149700 3) Donations to charitable fund, and IT paid are items of pure finance hence I have not included them in cost sheet

Solution 2
Particulars Opening Stock of RM + Purchases -Closing stock of RM Cost of materials Consumed Direct wages Prime Cost Work Overhead- 50% of Direct wages stores Overhead- 50% of Direct materials Total cost of gross output -Sales of rejected costing Cost of finished Costing Additional cost of rectifying Manufacturing Cost

Cost sheet
Quantity RS 14000 100000 10000 104000 20000 124000 10000 10400 144400 800 143600 360 143960 RS

2000 200 1800 ----1800

Working Note: Cal of cost of rectification 20/100 of proportionate wages is the additional cost i.e. 20/100 * 20000 = 4000. For 2000 tons the cost is Rs.4000 therefore, 180 tons = ? 180 * 20/100 = 360

Solution 3
Particulars Opening stock of RM Add- Purchase of RM Carriage inwards Less- closing stock of RM Cost of material Direct wages Prime cost Factory Overheads:Indirect wages Factory rent, rates& power Depreciation on plant

Cost sheet
Rs 75000 66000 1500 142500 91500 51000 52500 103500 2750 15000 3500 Rs

Add- opening Stock of WIP

Less- closing Stock of WIP Works Cost Office & Administrative overhead office rent Office Cost

21250 124750 28000 152750 35000 117750 2500 120250

Particulars Add- opening stock of FG Less- closing stock of FG COGS Selling & Distribution Cost of Sales Profit sales

Rs

Rs 54000 174250 31000 143250 17906 161156 17906 179062

Working Notes;Let SP 100 Less - Profit 10% 10 Cost of sales 90 Less - selling & Distribution 10 ------- 10% on sale CP 80 Calculation of Selling & Distribution overheads CP + profit = Cost of Sales 80 +10 = 90 10/80 * 143250 = 17906 Calculation of profit SP = CP + Profit = 100 = 90 +10 10/90 * 161156 (i.e. cost of sales)

Solution 4
Particulars Coal: 2500kgs@ Rs.15 per kg Wages: 10*150*50 Royalty
Prime cost Works exp- 10% of wages & coal Handling Charges Dep- 10% on Rs. 150000 Work Cost Administrative exp- 5% of wages & Coal Cost of Production + Opening stock - Closing stock Cost of bricks sold Profit

Cost sheet
Cost per 1000 bricks 7.50 15.00 0.75
23.25 2.25 0.50 3.00 29.00 1.125 30.125

Total cost for 5000000 37500 75000 3750

116250 11250 2500 15000 145000 5625 150625 4000 33138 121487 78513