Location via proxy:   [ UP ]  
[Report a bug]   [Manage cookies]                
Scribd Logo
Upload

Welcome to Scribd!

  • 510 views

    Non Integrated Accounting

    Uploaded by

    binu
    The document provides accounting information for Supreme Manufacturing Company for March 1998 and April 1998. It includes beginning balances, transactions during each period, and instructions to prepare related cost ledger accounts and trial balances. Specifically, it provides store, work in progress, and finished goods balances for March 31, 1998. It also provides raw material purchases and issues, direct and indirect wages, overhead expenses, and cost of goods sold figures for April 1998. The document requests the preparation of cost ledger accounts for the periods and a trial balance as of March 31, 1998 and April 30, 1998.

    Copyright:

    © All Rights Reserved
    Download as PDF, TXT or read online from Scribd

    Non Integrated Accounting

    Uploaded by

    binu
    510 views4 pages
    The document provides accounting information for Supreme Manufacturing Company for March 1998 and April 1998. It includes beginning balances, transactions during each period, and instructions to prepare related cost ledger accounts and trial balances. Specifically, it provides store, work in progress, and finished goods balances for March 31, 1998. It also provides raw material purchases and issues, direct and indirect wages, overhead expenses, and cost of goods sold figures for April 1998. The document requests the preparation of cost ledger accounts for the periods and a trial balance as of March 31, 1998 and April 30, 1998.

    Copyright

    © © All Rights Reserved

    Available Formats

    PDF, TXT or read online from Scribd

    Did you find this document useful?

    Is this content inappropriate?

    The document provides accounting information for Supreme Manufacturing Company for March 1998 and April 1998. It includes beginning balances, transactions during each period, and instructions to prepare related cost ledger accounts and trial balances. Specifically, it provides store, work in progress, and finished goods balances for March 31, 1998. It also provides raw material purchases and issues, direct and indirect wages, overhead expenses, and cost of goods sold figures for April 1998. The document requests the preparation of cost ledger accounts for the periods and a trial balance as of March 31, 1998 and April 30, 1998.

    Copyright:

    © All Rights Reserved
    Download as PDF, TXT or read online from Scribd
    Download as pdf or txt
    510 views4 pages

    Non Integrated Accounting

    Uploaded by

    binu
    The document provides accounting information for Supreme Manufacturing Company for March 1998 and April 1998. It includes beginning balances, transactions during each period, and instructions to prepare related cost ledger accounts and trial balances. Specifically, it provides store, work in progress, and finished goods balances for March 31, 1998. It also provides raw material purchases and issues, direct and indirect wages, overhead expenses, and cost of goods sold figures for April 1998. The document requests the preparation of cost ledger accounts for the periods and a trial balance as of March 31, 1998 and April 30, 1998.

    Copyright:

    © All Rights Reserved
    Download as PDF, TXT or read online from Scribd
    Download as pdf or txt
    of 4

    Q.

    1 On 31st March 1998, the following balances were extracted from the books of Supreme Manufacturing
    company:
    Dr. Cr.
    Store ledger control A/C Rs. 35,000
    Work in progress control A/C 38,000
    Finished goods control A/C 25,000 98,000
    Cost ledger control A/C 98,000 98,000

    The following transaction took place in April, 1998 :


    Raw Materials :

    Purchased Rs. 95,000


    Returned to suppliers 3,000
    Issued to Production 98,000
    Returned to stores 3,000

    Productive wages 40,000


    Indirect wages 25,000
    Factory overheads expenses incurred 50,000
    Administrative expenses 40,000
    Cost of finished goods transferred to warehouse 2,13,000
    Cost of good sold 2,10,000
    Sales 3,00,000
    Selling & distribution overheads 10,000

    Factory overheads are applied to production at 150% of direct wages, any under/over absorbed overheads
    being carried forward for the adjustment in the subsequent months. Administration and selling expenses
    incurred and recovered are the same.
    Show the necessary cost ledger accounts and prepare trial balance.
    Q. 2. From the following data, write up various accounts as you envisage in the cost ledger and prepare a trial
    balance as on 31st March 1998.
    a. Balance as on 1st April 1997:
    Particulars Rs.
    (Thousand)
    Material control 1,240
    Work in progress 625
    Finished goods 1,240
    Production Overheads 84
    Administration overheads 120 (Cr.)
    Selling and distribution overheads 65
    General ledger control 3,134
    b. Transactions for the year ended 31st March 1998 :
    Materials

    Purchases 4,801
    Issued to
    Jobs 4,774
    Maintenance works 412
    Administration office 34
    Selling department 72
    Direct wages 1,493
    Indirect wages 650
    Carriage inwards 84

    Production overheads :
    Incurred 2,423
    Absorbed 3,591

    Administration overheads:
    Incurred 740
    Allocated to production completed 529
    Allocated to sales 148

    Sales overheads:
    Incurred 642
    Absorbed 820
    Finished goods produced 9,584
    Finished goods sold (at production cost) 9,773
    Sales realization 12,430

    Question 3
    ABC Ltd. operates integrated accounting system and the following details are given for the year ended
    31st March, 1998.

    Trial Balance as on 31st March, 1998


    Debit Credit
    Share Capital 20,00,000
    Reserve 2,00,000
    Creditors for purchases 1,50,000
    Creditor for expenses 20,000
    Freehold building at cost 5,00,000
    Plant and machinery, at cost 13,00,000
    Provision for depreciation on plant and machinery 1,00,000

    Stock of:
    Raw Material 2,20,000
    Work in process 40,000
    Finished goods 60,000
    Debtors 2,00,000
    Bank 1,50,000
    24,70,000 24,70,000
    The following data for the month of April 1998 are given
    Particulars Rs
    Raw materials purchased on credit 9,90,000
    Raw materials returned to suppliers 40,000
    Material issued to production 8,50,000
    Materials returned from shop floor 20,000

    Factory wages paid:


    Productive 2,50,000
    Non productive (Normal) 50,000

    Salaries paid:
    Administration 1,00,000
    Selling & Distribution 75,000

    Overheads expenses incurred but not paid:


    Production 3,00,000
    Administration 50,000
    Selling & Distribution 1,00,000
    Depreciation for the month on plant and machinery 50,000
    Sales on credit 20,00,000
    Cash received from debtors 19,50,000

    Paid the following :


    Creditors for purchases 10,00,000
    Creditors for expenses 4,30,000
    Production overheads applied to production 3,90,000
    Administration overheads applied to finished goods 1,45,000
    Selling & distribution overheads applied to cost of sales 1,80,000

    Closing stock:
    Work in process 2,10,000
    Finished goods 2,15,000
    Income tax paid 30,000
    Interest paid 3,000
    Donation 5,000
    You are required to show the appropriate ledger accounts for April, 1998 and Balance sheet as on that
    date
    Q. 4. The following incomplete accounts are furnished to you for the month of ended 31 st October 1998.

    STORES CONTROL ACCOUNTS


    1.10.98 To Balance 54,000

    WORK IN PROGRESS CONTROL ACCOUNT


    1.10.98 To Balance 6,000

    FINISHED GOODS CONTROL ACCOUNT


    1.10.98 To Balance 75,000

    FACTORY OVERHEADS CONTROL ACCOUNT


    Total Debit for October 45,000

    FACTORY OVERHEADS APPLIED ACCOUNT


    COST OF GOODS SOLD ACCOUNT

    CREDITORS FOR PURCHASE ACCOUNT


    1.10.98 By Balance 30,000
    Additional Information:
    1. The budget for overheads for 1998 is Rs 6,75,000 and budget of direct labour hours is 4,50,000. The
    production process is labour oriented.
    2. The balance in the account of creditors for purchases on 31.10.98 is Rs 15,000 and the payments
    made to creditors in October, 1998 amounted to Rs. 1,05,000.
    3. The finished goods inventory as on 31st October 1998 is Rs. 66,000
    4. The cost of the good sold during the month was Rs.195000.
    5. On 31st October 1998, there was only one unfinished job in the factory, The cost records shows that
    Rs. 3,000 (1,200 direct labour hours) of direct labour cost and Rs. 6,000 of direct material cost had
    been charged.
    6. A total of 28,200 direct labour hours were worked in October 1998. All factory workers earn same
    rate of pay.
    7. All actual factory overheads incurred in October 1998 have been posted.
    You are required to find :
    a. Materials purchased during October 1998.
    b. Cost of goods completed in October 1998
    c. Overheads applied to production in October 1998
    d. Balance of work in progress on 31st October 1998
    e. Direct materials consumed during the October 1998
    f. Balance of stores control account on 31st October 1998
    g. Over absorbed or under absorbed overheads for October 1998

    You might also like