1.

Prepare a cost sheet with the following information:

Particulars Rs. in (000) Particulars Rs. in (000)

Direct materials pc 100,000 Direct wages. Pc 20,000
Depreciation on plant fo 500 Direct expenses. Pc 10,000
Wages of foreman. Pc 2,500 Electric power. Fo 500
Lighting of factory. Fo 1,500 Lighting of office. Fo 500
Storekeeper’s wages. S&d 1,000 Oil and water fo 500
Factory rent fo 5,000 Office rent. Fo 2,500
Plant repair and maintenance 3,500 Office maintenance. Fo 500
fo
Transfer to reserve pc 1,000 Discount on shares written off 500
Dividend sales 2,000 Depreciation on office 1,250
building. fo
Consumable stores. S&d 2,500 Manager’s salary. O&a 5,000
Director’s fee. O&a 1,250 Office stationery. O&a 500
Telephone bill fo 375 Salesman’s salary. S&d 1,250
Travelling expenses. S&d 1,250 Advertising S&d 500
Warehouse charges. Fo 500 Sales 189,500
Carriage outward. S&d 375 Income tax 10,000

2. Prepare a cost sheet with the following information:

Particulars Rs. in (000) Particulars Rs. in (000)

Opening raw material 140,000 Opening work in progress 200,000
Opening finished stock 80,000 Heat light and power 65,000
Rates and taxes 6,300 Misc. factory expenses 18,700
Salesman’s commission 33,600 Office appliance 17,400
Plant and machinery 460,500 Building 200,000
Sales return and rebates 14,000 Material purchased 320,000
Freight inward 16,000 Direct labor 160,000
Indirect labor 18,000 Factory supervision 10,000
Factory repairs 14,000 Sales Travelling 11,000
Sales promotion 22,500 Distribution exp. 18,000
Salary 8,600 Interest on loan 2,000
Sales 786,000 Purchase return 4,800
Further details are available as follows:
1. Closing inventory:
Finished stock: Rs.115,000; Raw material: Rs.180,000; Work in progress: Rs.192,000.
2. Accrued exp. On:
Direct labor: Rs.8,000; indirect labor: Rs.1,200; interest on loan: Rs.2,000.
3. Depreciation on:
Office appliance @ 5%; Plant and machinery @ 10%; Building @ 4%.
4. Distribution of the following costs:
Heat light and power to factory, office and distribution in the ratio of: 8:1:1.
Rates and taxes: 2/3 to factory and 1/3 to office.
Depreciation on building to factory, office and selling in the ratio of: 8:1:1.