Project on Organization

Of

Chaudhary & Sons Manufacturing

Company

8 /9/2022
 Acknowledgement…………………………1

 Introduction…………………………………2

 Objectives……………………………………3

 Purpose of cost sheet ……………………...4

 Components of cost ...…………………….5

 Cost Sheet……………..…………………….6

 Finding/Conclusion………………….……7
 
INTRODUCTION
Cost sheet is a document which provides for the assembly of the estimate
detailed cost in respect of a cost center pool a cost unit.
 

It is a periodical document of cost designed to exhibt the total cost and the
unit cost of products in an analytical and detailed form.
 
 
 Objectives
 To know the various components of expenses cost.
 To find out cost of production.
 To know the amount of profit or less.
Purpose of cost sheet
 It helps in fixing the selling price more accurately.
 It helps in comparisions of cost of similar jobs.
 It gives information for compilation of estimate.
 It acts as a guide to the producer.
 It provides useful information to trace wastages, losses etc.
Component of cost sheet
Cost sheet Cost Sheet of…….
For the month ended……..
Particulars              Amount Amount

Opening cost of raw materials         10,000  

             

Add: Purchases of raw materials         60,000  

Add: Carriage on purchased         1,000  

              71,000  

Less: Closing stock of raw materials       11,000  

Cost of raw materials consumed           60,000

Productive wages             56,000

Prime cost               1,16,000

Add: Factory overheads            

Depreciation on plant           4,000  

Factory lighting, heating         6,000 10,000

                1,26,000

Add: Opening stock of work-in-progress         7,000

                1,33,000

Less: Closing stock of work-in-progress         8,000

Work cost               1,25,000

Add: Office and administrative overheads          

General expenses           5,000  

Depreciation on furniture         2,500 7,500

Cost of production             1,32,500

Add: Opening stock of finished goods         8,000

                1,40,500

Less: Closing stock of finished goods (4,000units * 1,32,500/33125)     16,000

Cost of goods sold             1,24,500

Add: Selling and distribution overheads         15,000

Cost of sales             1,35,500

Profit               10,500
Sales                 1,50,000
  Finding/conclusions
 The manufacturing company makes the various Cost of raw material, prime

 
cost, work cost, cost Of production, cost of goods sold, cost of sales.
 The cost of production is 1,32,500.
 The sales is 1,50,000.
 The Net profit is 10,500
 
 
Thank you