The cost data relating to units of production for the year ending 31st December 2020 are as follows: Material (for 20,000 units actually produced) Subcontracted Labour (for 20,000 units actually produced) Production overheads £60,000 £20,000 £100,000 There are 3,000 units of inventory unsold at the year end. Production was 2/3 of the normal activity level. Compute the inventories figure shown in the Statement of Financial Position as at 31st December 2020.

FINANCIAL ACCOUNTING
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ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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what is the answer for the inventories

The cost data relating to units of production for the year ending 31st December 2020 are as follows:
Material (for 20,000 units actually produced)
Subcontracted Labour (for 20,000 units actually produced).
Production overheads
£60,000
£20,000
£100,000
There are 3,000 units of inventory unsold at the year end. Production was 2/3 of the normal activity level.
Compute the inventories figure shown in the Statement of Financial Position as at 31st December 2020.
Transcribed Image Text:The cost data relating to units of production for the year ending 31st December 2020 are as follows: Material (for 20,000 units actually produced) Subcontracted Labour (for 20,000 units actually produced). Production overheads £60,000 £20,000 £100,000 There are 3,000 units of inventory unsold at the year end. Production was 2/3 of the normal activity level. Compute the inventories figure shown in the Statement of Financial Position as at 31st December 2020.
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