Following figures have been extracted from the Cost Records of a manufacturing unit : $ Store: Work-in-progress: Opening Balance 1,60,000 Direct Wages Applied Overheads Applied Opening Balance 30,000 60,000 Purchases 60,000 Transfers from Work-in-Progress Issues to Work-in-Progress Issues to Repairs and Maintenance Deficiencies found in Stock Taking 80,000 2,40,000 1,60,000 Closing Balance 40,000 20,000 6,000 Finished products: Entire output is sold at a profit of 10% on actual cost from Work-in-progress. Direct wages incurred $ 70,000; Overheads incurred $ 2,50,000. Items not included in Cost Records: Income from investments $ 10,000; Loss on sale of capital assets $ 20,000. Draw up Stores Control Account, Work-in-progress Control Account, Costing Profit and Loss Account, Profit and Loss Account and Reconciliation Statement.
Following figures have been extracted from the Cost Records of a manufacturing unit : $ Store: Work-in-progress: Opening Balance 1,60,000 Direct Wages Applied Overheads Applied Opening Balance 30,000 60,000 Purchases 60,000 Transfers from Work-in-Progress Issues to Work-in-Progress Issues to Repairs and Maintenance Deficiencies found in Stock Taking 80,000 2,40,000 1,60,000 Closing Balance 40,000 20,000 6,000 Finished products: Entire output is sold at a profit of 10% on actual cost from Work-in-progress. Direct wages incurred $ 70,000; Overheads incurred $ 2,50,000. Items not included in Cost Records: Income from investments $ 10,000; Loss on sale of capital assets $ 20,000. Draw up Stores Control Account, Work-in-progress Control Account, Costing Profit and Loss Account, Profit and Loss Account and Reconciliation Statement.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question

Transcribed Image Text:Following figures have been extracted from the Cost Records of a manufacturing unit :
$
Store:
Work-in-progress:
Opening Balance
1,60,000 Direct Wages Applied
Overheads Applied
Opening Balance
30,000
60,000
Purchases
60,000
Transfers from Work-in-Progress
Issues to Work-in-Progress
Issues to Repairs and Maintenance
Deficiencies found in Stock Taking
80,000
1,60,000
2,40,000
Closing Balance
40,000
20,000
6,000
Finished products: Entire output is sold at a profit of 10% on actual cost from Work-in-progress.
Direct wages incurred $ 70,000; Overheads incurred $ 2,50,000.
Items not included in Cost Records: Income from investments $ 10,000; Loss on sale of capital assets $
20,000.
Draw up Stores Control Account, Work-in-progress Control Account, Costing Profit and Loss Account,
Profit and Loss Account and Reconciliation Statement.
Expert Solution

This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
Step by step
Solved in 4 steps with 4 images

Knowledge Booster
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


Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,

Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,


Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,

Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,

Horngren's Cost Accounting: A Managerial Emphasis…
Accounting
ISBN:
9780134475585
Author:
Srikant M. Datar, Madhav V. Rajan
Publisher:
PEARSON

Intermediate Accounting
Accounting
ISBN:
9781259722660
Author:
J. David Spiceland, Mark W. Nelson, Wayne M Thomas
Publisher:
McGraw-Hill Education

Financial and Managerial Accounting
Accounting
ISBN:
9781259726705
Author:
John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles
Publisher:
McGraw-Hill Education