Roswell Ltd produces Netball, a product requiring two processes. Normal loss in each process is 10%. The following information relates to Period 2: Direct materials (4,000 units) Added direct materials (1,200 units) Direct labour Production overheads Output transferred to Process 2 Output transferred to finished goods Scrapped units are sold for $4 each. A. Prepare process 1 account Process 1 Process 2 S S 32 400 18 640 24 000 3 800 units 6480 20 000 33 000 4 250 units

Roswell Ltd produces Netball, a product requiring two processes. Normal loss in each process is 10%. The following information relates to Period 2: Direct materials (4,000 units) Added direct materials (1,200 units) Direct labour Production overheads Output transferred to Process 2 Output transferred to finished goods Scrapped units are sold for $4 each. A. Prepare process 1 account Process 1 Process 2 S S 32 400 18 640 24 000 3 800 units 6480 20 000 33 000 4 250 units

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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