Question

Please answer all the questions clearly and accurately with high charting the tables on the subject

I want the answer to be written on the computer and not handwritten, please

1. The following information has been obtained from the records of AJ Corporation Ltd for the period from January 1 to June 30, 2013. Prepare a Cost Sheet.

PARTICULARS	1. 1.2013 $	30.6.2013 $
Cost of Raw Materials	10,000	7,500
Cost of Work in Progress	5,000	6,000
Cost of Stocks of finished Goods	25,000	22,500
Transactions during six months are :
Purchase of Raw Materials	225,000
Wages Paid	110,000
Factory-Overheads	40,500
Administration Overheads	25,000
Selling and Distribution Overhead	10,000
Sales	1,000,000

Prepare a Cost Sheet

Answer 1

Cost sheet :
Particulars		Amount
Direct Materials :
Beginning Raw material inventory	$    10,000.00
Add : Purchase of raw materials	$ 225,000.00
Less : Closing Raw material inventory	$    (7,500.00)	$    227,500.00
Direct labour - Wages paid		$     110,000.00
Prime Cost		$    337,500.00
Add : Factory Overheads		$       40,500.00
		$    378,000.00
Add : Opening WIP		$         5,000.00
		$    383,000.00
Less : Closing WIP		$       (6,000.00)
Manfacturing cost		$    377,000.00
Add : Administrative overheads		$       25,000.00
Cost of Production		$    402,000.00
Add : Opening stock of FG		$       25,000.00
		$    427,000.00
Less : Closing stock of FG		$     (22,500.00)
Cost of production of goods sold		$    404,500.00
Add : Selling and Dsitribution oVerhead		$       10,000.00
Cost of goods sold		$     414,500.00
Add : profit /(loss)		$    585,500.00
Sales		$ 1,000,000.00