cost sheet budget CVP

cost sheet budget CVP - Question: The following figures are...

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Question: The following figures are extracted from the trial balance of Gogetter on 30th Sep 2010. Debit Credit Inventories: Finished Stock 80000 Raw Materials 140000 Work In Progress 200000 Office Appliances 17400 Plant & Machinery 460500 Buildings 200000 Sales 768000 Sales Return and Rebates 14000 Material Purchased 320000 Freight Incurred on Materials 16000 Purchase Returns 4800 Direct Labour 160000 Indirect Labour 18000 Factory Supervision 10000 Repaires and Up-keep - Factory 14000 Heat, Light and Power 65000 Rates and Taxes 6300 Miscellaneous Factory Exp 18700 Sales Commission 33600 Sales Travelling 11000 Sales Promotion 22500 Distribution Dept - Salaries and Exp 18000 Office Salaries and Expenses 8600 Interest on Borrowed Funds 2000 Further details are available: Finished Goods 115000 Raw Materials 180000 Work-in- Process 192000
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Acrued Expenses on: Direct Labour 8000 Indirect Labur 1200 Interest on Borrowed Funds 2000 Depreciation to be provided on: Office Appliances 5% Plant & Machinery 10% Buildings 4% Distribution of the following Costs: Heat, Light and power to Factory, Office and Distribution in the ratio 8:1:1 Rates and taxes two-thirds to Factory and one-third to office. Depreciaiton on Buildings to Factory, office and selling in the ratio 8:1:1 With the help of the above information, you are required to calculate i) Cost of Sales ii) Selling and Distribution Expenses iii) Administration Expenses Solution: (Rs.) Materials Purchased 320000 Less: Returns 4800 Net Materials 315200 Add: Freight 16000 Opening Stock - Raw Mat 140000 471200 Less: Closing Stock - Raw Mat 180000 Raw Material Consumed 291920 0 Direct labour 160000 Add: Accrued Expense 8000 168000 Prime Cost 459200
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Factory Overhead: Indirect Labour 18000 Add: Accrued Expense 1200 19200 Factory Supervision 10000 Repairs of Upkeep 14000 Heat, Light and Power 52000 Rates and Taxes 4200 Misc. Factory Exp 18700 Depreciation: Plant 46050 Building 6400 52450 170050 Works Cost (Gross) 629750 Add: Opening WIP 200000 Less: Closing WIP 192000 8000 Works Cost (Net) 637750 Adminstrative Overheads: Heat, Light and Power 6500 Rates and taxes 2100 Derprciation: Building 800 Office Appliances 870 Office Salaries and expenses 8600 18870 Total Cost 656620 Add: Opening Finished Goods 80000 736620 Less: Closing Stock 115000 Cost of Production of Saleable units 621620 Selling and Distribution Expenses: Heat and light 6500
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Depreciation: Building 800 Sales commission 33600 Sales Travelling 11000 Sales Promition 22500 Distribution Deptt. Expenses 18000 92400 Cost of Sales 714020 Cash Budget Preparation: Example: Prepare a cash budget for the three months ending 30th June 2009 from the following information given below: a) Month Sales Material s Wages Overheads (Rs.) (Rs.) (Rs.) (Rs.) Feb 1400 0 9600 3000 1700 March 1500 0 9000 3000 1900 April 1600 0 9200 3200 2000 May 1700 0 10000 3600 2200 June 1800 0 10400 4000 2300 b) Credit terms are:- Sales /Debtor - 10% sales are on cash, 50% of the credit sales are collected next month
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This note was uploaded on 11/15/2011 for the course ACCOUNTS 231 taught by Professor Majidkhan during the Winter '11 term at IIPM.

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cost sheet budget CVP - Question: The following figures are...

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