STAY AT HOME Co.limited is a manufacturing company producing Nose mask in large quantities . The following balances were extracted from it's books on 30th September ,2019. Inventory 01/10/2018. Gh Raw materials. 28,800 Work -in- progress 39,000 Sales (114,000 pieces at Gh 5 each ) 570,000 Carriage on raw materials 1,470 General expenses. 25,200 Selling expenses 51,840 Plant machinery 250,280 Land 50,000 Bank overdraft 32,120 Retained earnings 816 Ordinary share capital 200,000 8% preference share capital 22,000 Goodwill 40,0000 Bad debt. 830 Trade receivables 36,433 Discount allowed 1,440 Sundry payables 56,636 Trade investment 8,840 Advertising 2,250 Discount received. 1,920 Carriage outwards 2,280 Production wages 126,000 Offices salaries 4,860 Purchases of raw materials 168,000 Return inwards 9,000 Needles 15,000 Factory rent. 13,600 Office insurance. 40,800 Depreciation of plant and machinery. 4,920 Inventory 30/09/2019 Raw materials. 35,400 Work -in- progress 39,120 Loose tools 3,000 Additional information: a.During the year 129,000 pieces were completed . The closing inventory of the finished product is valued at the cost price per nose mask produce. b. Goods mmanufactured during the year to be transferred to the trading account at the Gh 390,000 c. Provide for doubtful debts at the rate 5/2 % of of the receivables d. Advertisement was three month prepaid . Determine the manufacturing profit for the business.
STAY AT HOME Co.limited is a manufacturing company producing Nose mask in large quantities . The following balances were extracted from it's books on 30th September ,2019.
Inventory 01/10/2018. Gh
Raw materials. 28,800
Work -in- progress 39,000
Sales (114,000 pieces at Gh 5 each ) 570,000
Carriage on raw materials 1,470
General expenses. 25,200
Selling expenses 51,840
Plant machinery 250,280
Land 50,000
Bank overdraft 32,120
Ordinary share capital 200,000
8%
Trade receivables 36,433
Discount allowed 1,440
Sundry payables 56,636
Trade investment 8,840
Advertising 2,250
Discount received. 1,920
Carriage outwards 2,280
Production wages 126,000
Offices salaries 4,860
Purchases of raw materials 168,000
Return inwards 9,000
Needles 15,000
Factory rent. 13,600
Office insurance. 40,800
Inventory 30/09/2019
Raw materials. 35,400
Work -in- progress 39,120
Loose tools 3,000
Additional information:
a.During the year 129,000 pieces were completed . The closing inventory of the finished product is valued at the cost price per nose mask produce.
b. Goods mmanufactured during the year to be transferred to the trading account at the Gh 390,000
c. Provide for doubtful debts at the rate 5/2 % of of the receivables
d. Advertisement was three month prepaid .
Determine the manufacturing profit for the business.
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