From the following particulars of a manufacturing company, prepare a statement showing (a) cost of…
From the following particulars of a manufacturing company, prepare a statement showing (a) cost of materials used; (b) prime cost; (c) works cost; (d) percentage of works overheads to productive wages; (e) cost of production; (f) percentage of general overheads to works cost; and (g) net profit.
Stock of materials on 01 March 2010
10,000
Purchase of materials in March
2,75,000
Stock of finished goods on 1 March 2010
12,500
Productive wages
1,25,000
Finished goods sold
6,00,000
Works overheads
37,500
Office and general overheads
25,000
Stock of materials on 31 March 2010
35,000
Stock of finished goods on 31 March 2010
15,000