son. US \, com — Be oat Famato RF dvanee cost Accu dn kere paper-at a yy ju compulsory. Attompt any four questions trom the ramsinng: NB. (3) Question No. M apqvestions carry aqual marks uniges Uho9 ieee rons carry 20 mark exch 3 atic to tne cor" re i pat ane san and necenaryasunpone io mae oO sede cleat " at | 4 toting detain rospat oto tuck at Stone | 1 ofowing dete covering 2 isance of 50 Ks | 1. A transport company suBBles Cepacty hich carries goods 10 toch wy. 1 As. Cost of tuck 180,000 ‘Diesel, oil, grease (per trip each way) 30 1 RRopairs and maintgnance (per month) 1.500 } Driver's (monthyy) wages 1,500 | Cloaner-cum-attendants wages (monthly) 750 Insurance (por yea") 9.000 1 ‘Road licence (per yea") 3,000 ; Roe ee oe ancnages owryeu) | 8000 ) ‘ Estimated io (years) 10 i gaa yt avai fr a ul a of te ado \ i Wile gra can tech eight only up 1020 per cont of fa eapreay | Sherage 25 days 8 month, you are 1 ihe assumption that ine tuck runs on 8” required 9 determine tho following i 2 {Operating east per tonne-kr, : Sparen care pa np tal re company shoud charg pre cl 80 Pet Cont on coat ie to be cared, and Z ay eteteight stout ine Gomoany ena fone'wars fo engage me Weck Yorone day fora tp 1 the city and back 2. Following relevant data ofa tm is gen ‘atiay Levels Won) Pactours “pan tone [60,000 tore [70.000 tons [8,000 tone J ‘Vara cot (a owen samo] coop] 7.000 6.000 Se eee inerneneca| 1s0o| aco] 180) _Le semantics no=e} —Fo5[ sao [ ome at Face fe horn ete vce tuad cam talow sprnn ptm ln om the a0 208 19 Ther cst fo erate btwe the eve gv a ls sonata con tin 95,00 tne ve a pre. \ nhl op een sole 4H mares ee" le Ca ne) tor an i ee gaa ray ane tm ego fev wate ane ee who thos a= a ee ate ang pce ot R18 et 2 | \ 19mm ee ra stg pre of 10" pre. \ [TURN OVER / i écor a sn, 139-AD-1530-08. 2 ‘A manufacturing company uses the folowing standard mix hele compound it Sateh of 100 gs. of is production tine ‘So xpe of materia! X atthe standard price of Rs. 2. 30 ge of mater at the standard price of Rs 3. 30 Kye of material Z atthe standard price of RS. 4 ‘Fhe actual mix for & Batch of 120 Kgs was as follows ‘cb kgs of material Xt the price of Re 3 ‘40 gs of matorial ¥ atthe price of Rs. 2.6 | 430 kgs of material Z at the price of RS. 3 calculate the diferent matetal variances ( ‘The folowing data ceate 10 Process Q “opening worksin-process 4,000 uns costing Fs. 45,600 { Degree of completion Materials 100% fs, 24,000 Labour | 0% Re. 14,400 Overheads 60% Re. 7,200 \w rreceived during the month of Apr, 2007 from Process P 4ojox0 uns at Re, 1,77,000, ' {uy Expenses incurred in Process @ during the month : | Materials ‘Rs 79,000 Ue | Re 1.98290 ‘Overheads 5) Re, "69,120 ‘ (iw) Closing workin-proces } ‘Degree of Gonppetion i Matenals 100% ' [Lapour and Ofertends 50% + 4,000 units . () Unite scrappes Degree of completion : Materials 100% Labour and overheads ‘0% Normal oss: 5% of current input ‘Spoiled goods realisad Rs. 150 per unit ‘Comoleted 98,000 units are transerred 10 warehouse, 1d: Propare (By FIFO Method) ‘Statement of equivalent units i} Statement of cost per equivalent unit and total costs (ii) Process © Account j 5. ex Enerpins operates an ter ystan accounting. You ae rete a ex Ener crates oung Yansacons ha took pace forthe ya onde 0h June, 2007. Re, ‘law materials purchased (60% on erect) 6,00,000 Naterals issued to production 4,00,000, Wages paid to workers 2,00.000, | Factory overheads incured 80,000 tory overneads charged to production 100,000, Sling and distsbution overheads incurred 40,000 Finished goods at cost 6,09,000 7,50,000 Sales (50% crest f, &) deren. 133° 6 The! and is Fix ca as: at‘con, 199-A0-1520408, 3 “The flowing information relates tothe productive actvties cf Dets Lid Yor 3 mont, fending on 3ist March 2008 se OD Particulars A. oh Variable Expenses ; (at 50% capacity) Rs, Materials 609,000 Labour 6.40,000 —Salosmen's Commission 195,000 735,000, ‘Semi-variable Expenses : (at $0% capacity) Plant maintonance 62,500 Indirect Labour 2,47,500 —Salesmen’s salaries 72,500 —Sunary 165,000 7,500 Fixed Expenses “Management Salaries 2,10,000 —Aent and Taxes +140,000 Depreciation of Machiner 175,000, Sundry Otfiee Expenses itis urthor noted that semi-varlable expgnses remain constant between 40% and 70% Cepeclty,inerease by 10% of the abova figures between 70% and 86% capacity fine incteage by 15% of the above tigures Detwuen 85% and 100% caoacky. heed expenses remain constant whateva te lovel of activity may be. Sal Capacity ara Re. 25 £0,000, at 60% caphoty sre Rs, 34,00,000 and at 100% capacity fare Fis. 42,60,000. ‘esurning tat al loms produced are so, you ar required lo prepare a fexbie udget 60%, 80% and 100% capacity. (a) Ambar construction 1d, undertook a eorract for Rs. 20,00,000 on Ist Apr 2007 Gn Bist March, 2008, when the accounts were closed, following detalis were available Particulars 1 Rs. Matevals purchased 4,90.000, ‘Werk cortios 8,00,000 Materials on hand on 31st March, 2008 100,000 Machinery purenacoo 2,00,000 Cash received ,00,000 ‘Wages pai , 1,80,000 Work uncortitios ‘60,000 General expenses 440,000 20,000 Wages accrued ‘Depreciation on machinery is to be charged @ 10% per anniim. However the Contract contains an escalation clause as under Sin the event of price of materials and rate of wages Increase by mare than SY, thon the contract price will be increased accordingly by 40% of tho rise in the Coat of matoriais and wagos boyond 5% in each case”. frie found tnt alter signing the agreement the price of materais and wage rale Increased by 25% gach. The value of the work ceriied does nat take into fecount the effect ofthe above clause, Prepare the contract sceaunt giving the ‘effect of ta anove escalation. . [TURN OF if