The following detai ls are taken from a factory: Particulars Process I (Rs.) Process II (Rs.) Opening stock 20,000 30,000 Direct material 80,000…
BBS Cost and Management Accounting · 2081 · Solved Question with Answer
The following details are taken from a factory:
| Particulars | Process I (Rs.) | Process II (Rs.) |
| Opening stock | 20,000 | 30,000 |
| Direct material | 80,000 | 60,000 |
| Direct wages | 60,000 | 40,000 |
| Production overhead | 40,000 | 20,000 |
| Closing stock on prime cost | 50,000 | 60,000 |
|
Inter process profit on opening stock
|
5,000 |
The output of process I is transferred to process II at a profit of 20% on cost price and that of process II to finished stock at a profit of 25% on transfer price. The factory sold 80% of the finished goods for Rs. 420,000.
Required :
Process I Accounts
Process II Account
Finished stock account
Actual realized profit
Process I Accounts
Process II Account
Finished stock account
Actual realized profit