Rock Solld concrete manufacturers supply cement mixture directly to both the construction Industryand building supply retailers located throughout the country. The company has three machines eachwith a 100% capacity (60 hours) of 40 tons per week. Due to electricity supply concerns, the machineshave only been able to operate at 75% capacity.One ton of cement mixture requires 400 kg of Product M and 600 kg of Product N. Ignore any wastage.Product M is purchased at R80/kg and Product N at R25/kg. Each machine requires five operators.Assume four (4) weeks per month. All materials purchased are used in the mix of cement and all cementis sold in the month it is manufactured. The cement plant takes up 90% of the total floor space.The following is an extract of some of the transactions for the month:NO123456TRANSACTIONPurchase the requiredquantity of Product M forthe month.Purchase the requiredquantity of Product N forthe month.The machine operators earnR2 000 each per week.The factory supervisorearns R35 000 per month.Depreciation per machineper annum amounts toR156 000.Rates and taxes amount toR18 000 per month.Apportion the costaccording to floor space.PERIOD COSTMarketing/Distribution/Selling costPRODUCT COSTDirect Direct Manufacturing AdminMaterial Labour Overheads 1010operation. Oil costs R275per litre.The general manager earnsR50 000 per month.Carriage on sales amountsto R3 500 per 5 tonsdelivered.Salesmen commissionamounts to R15 per bagsold, the cement ispackaged in bags of 20kgCalculate the total number of tons of cement mixture manufactured per month.Complete the above table by using monthly cost figures. Redraw the table.You do not need to copy the transaction detail. Only use the question number toindicate the question answered.

Assigning costs to cost items, which often comprise a corporation's goods, services, and other…

Rock Solld concrete manufacturers supply cement mixture directly to both the construction Industry and building supply retailers located throughout the country. The company has three machines each with a 100% capacity (60 hours) of 40 tons per week. Due to electricity supply concerns, the machines have only been able to operate at 75% capacity. One ton of cement mixture requires 400 kg of Product M and 600 kg of Product N. Ignore any wastage. Product M is purchased at R80/kg and Product N at R25/kg. Each machine requires five operators. Assume four (4) weeks per month. All materials purchased are used in the mix of cement and all cement is sold in the month it is manufactured. The cement plant takes up 90% of the total floor space. The following is an extract of some of the transactions for the month: NO Tend 1 TRANSACTION Purchase the required quantity of Product M for PRODUCT COST Direct Direct Material Labour Manufacturing Overheads PERIOD COST Admin Cost Marketing/ Distribution/ Selling cost

Rock Solld concrete manufacturers supply cement mixture directly to both the construction Industry and building supply retailers located throughout the country. The company has three machines each with a 100% capacity (60 hours) of 40 tons per week. Due to electricity supply concerns, the machines have only been able to operate at 75% capacity. One ton of cement mixture requires 400 kg of Product M and 600 kg of Product N. Ignore any wastage. Product M is purchased at R80/kg and Product N at R25/kg. Each machine requires five operators. Assume four (4) weeks per month. All materials purchased are used in the mix of cement and all cement is sold in the month it is manufactured. The cement plant takes up 90% of the total floor space. The following is an extract of some of the transactions for the month: NO Tend 1 TRANSACTION Purchase the required quantity of Product M for PRODUCT COST Direct Direct Material Labour Manufacturing Overheads PERIOD COST Admin Cost Marketing/ Distribution/ Selling cost

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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