1. Ascertain the prime cost from the following: Rs. Direct wages 50,000 Chargeable expenses 5,000 Opening stock of raw materials Raw materials bought during the period Closing stock of raw materials 10,000 60,000 20,000 1,500 Carriage inwards Carriage outwards Raw materials returned to supplier 2,000 1,500 (Osmania, B.Com. April 1995] [Ans : Prime cost : Rs. 1,05,000] Hint: Ignore carriage outwards.

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
icon
Related questions
Question
I want answer this sum in step by step method
överhead
7. Ascertain the prime cost from the following :
Rs.
Direct wages
Chargeable expenses
Opening stock of raw materials
Raw materials bought during the period
Closing stock of raw materials
50,000
5,000
10,000
60,000
20,000
Carriage inwards
Carriage outwards
Raw materials returned to supplier
1,500
2,000
1,500
[Osmania, B.Com. April 1995]
[Ans : Prime cost : Rs. 1,05,000]
Hint: Ignore carriage outwards.
Transcribed Image Text:överhead 7. Ascertain the prime cost from the following : Rs. Direct wages Chargeable expenses Opening stock of raw materials Raw materials bought during the period Closing stock of raw materials 50,000 5,000 10,000 60,000 20,000 Carriage inwards Carriage outwards Raw materials returned to supplier 1,500 2,000 1,500 [Osmania, B.Com. April 1995] [Ans : Prime cost : Rs. 1,05,000] Hint: Ignore carriage outwards.
Expert Solution
trending now

Trending now

This is a popular solution!

steps

Step by step

Solved in 2 steps

Blurred answer
Knowledge Booster
Techniques of Time Value Of Money
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.
Recommended textbooks for you
FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
Accounting
ISBN:
9781259964947
Author:
Libby
Publisher:
MCG
Accounting
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Horngren's Cost Accounting: A Managerial Emphasis…
Horngren's Cost Accounting: A Managerial Emphasis…
Accounting
ISBN:
9780134475585
Author:
Srikant M. Datar, Madhav V. Rajan
Publisher:
PEARSON
Intermediate Accounting
Intermediate Accounting
Accounting
ISBN:
9781259722660
Author:
J. David Spiceland, Mark W. Nelson, Wayne M Thomas
Publisher:
McGraw-Hill Education
Financial and Managerial Accounting
Financial and Managerial Accounting
Accounting
ISBN:
9781259726705
Author:
John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles
Publisher:
McGraw-Hill Education