‘ost Sheet, Tenders and Quotations 255 7 Fhe following cost data are available from the books forthe year ended 41,12.2021; Ro, Direct material 9,00,000 Direct wages 7,50,000 Profit 6,09,000 Selling and distribution overheads 5,25,000 Administrative overheads 4,20,000 Factory overheads 4,50,000 Prepare a cost sheet indicating the prime cost, works cost, production cost, cost of sales and sales value. [Madras, B.A, Corp., Sep. 1997] [Ans : Prime cost : Rs, 16,50,000; Works cost : Rs, 21,00,000; Production cost : Rs. 25,20,000; Cost of sales : Rs, 30,45,000; Sales value ; Rs. 36,54,000] A manufacturing concern requires a statement showing the result of its production operations for September, 2017, Cost records give the following information: Rs. Purchase of Raw materials 88,000 Direct wages 70,000 Indirect wages 2,500 Works expenses 37,000 Administrative expenses 13,000 Sale of factory scrap 2,000 Selling and distribution expenses 15,000 Sales 2,84,000 Prepare cost sheet [Thiruvalluvar B.Com 2011 & B.Com Nov. 2017] [Madras, B.Com(gen & A.F) Nov. 2007] [Ans: Profit Rs. 60,500] 5. The following information relates to Toy Gun Manufacturing Company for the 3 months ending 31st March 2021. Rs. Direct materials consumed 18,000 12,000 4,000 6,000 4,500 [Madras B.Com (gen & AF) April 2008] or Ans: Total Cost: Rs. 47,000; Profit: Rs. 6,000]ag 2-53 3) coms pret qoo 000 o.M oO " ae 15000 1650 7 Pum cost Rad: faclory On ULPUL COAT Add » Admim ot Add : Ss. o#Works cost : Rs, 49,300; Cost of production Cost of sales : Rs. 56,700; Profit VY factory produces 100 units of a commodity, The cost of prod Rs, Direct materials 10,000 Direct wages 5,000 Direct expenses 1,000 Factory overheads 6,500 Administrative overheads 3,480 If profit of 25% on sales is to be realised what would be the selling of the commodity? Prepare the cost sheet. [Bharathiyar B.Com.(Sem — PZSA) Nov. 2005; B. [Ans : Selling price per unit : Rs. 346.40; Prime Works cost : Rs. 22,500; Cost of production : Rs, 25,980;” 2 cihct hut ES | 10000 D0. w 5 000 0.E€ t000 Powe cast 16000 | Adel: ut OH — b500 niga SBS “22500 Add: RamiMoH 3460 cost of frreduclion 25960 V5 on coat Sbb0 By bho eelget 5 ale a ee A elPosi Shoot, Tenders and Quotations 26) [Ans | Prime cost : Rs. 1,27,000; Works cost ; Rs, 1,44,000; Cost of production | Rs. 1,61,000; Cost of sales : Rs, 189,000; Profit ; Rs, 37,800) AC) Cost Shoot ~ With stocks of work-in-progress and finished goods 24 From the following particulars of the AB Ltd. » Prepare a statement showing: (a) The cost of materials used (b>) The works cost (oe) The total cost (d) The percentage of works expenses to productive wages. Rs. Stock of materials on Ist Jan, 2015 20,000 Stock of finished goods on Ist Jan, 2015 51,000 Purchase of raw materials 5,80,000 Productive wages 3,90,000 Sales of finished goods 12,10,000 Stock of raw materials on 31st Dec. 2015 25,000 Works overhead charges 86,000 Office and general expenses 70,000 Stock of finished goods on 31st Dec. 2015 50,000 [Bharathlyar B.com April 2021] [Madras, B.C.S, Oct. 2003; (2 Times); B.Com. April 2000] [Ans ; (a) Rs. 5,75,000; (b) Rs. 10,51,000; (c) Rs. 11,22,000; (d) 22.05%] 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 overhead to productive wages (e) Cost of production (f) Percentage of general overheads to works cost and (g) Net profit Rs. Stock of materials on Ist Jan, 2019 20,000 Purchase of materials in January 5,50,000 ‘Stock of finished goods on Ist January 2019 25,000 Productive wages 2,50,000 Finished goods sold 12,00,000 Works overhead charges 75,000 Office and general expenses 50,000 ‘Stock of materials on 31st Jan, 2019 70,000 Stock of finished goods on 31st Jan, 2019 30,000a —_ POUT CBs 'b 000 Adc: uu OH 500 WUB4UE COA “3.2500 Add : Admin oH 34¢0 coat of fucoduclion, 25980 Ya en cost Bbbo —_ Salem Seo 24.) Cont sheet ope STeatk 20000 +) P 53 0000 ( WACO .L aD 86000 b00000 ae eel 22.05-/ 3490000 —) Clare stack, 25000 Ouect Mofsutal 515000 7 (+) -ueur o# wage Produchus 340000 ULeUL OH oe [051 000 ry) Adium 0H 70000 Coat of Preduclien 121000 5l000 +) epen F. G) “ 50000 = HOF BB O00 SS CDSs FIG sil 5 J | Be 122000 — — Sales 121000025.) Chat bheet eTumung sec 20000 Cc Ypurrehiased 550000 (~) clore stock T0000 500000 WEG eb» 250000 750000 CG) ww8r 9 4 15 000 Lioks com 825000 CO) Barun 044 50000 ASA rpduilum 875000 (4) open FG SERED ©) close ee 20oee Se Gale» s10900 | Peepir Solin 330000 1200000 15 000 PaOlG e= 30+/. 250000 $0000Cost of sales : HS, 17,4705 STUBS + By 8 ee ‘ost Sheet — Tenders and Quotations The accounts ofa machine manufacturing company disclose for the six months ending 31st Dec. 2017. the following information Rs. Materials used 1,50,000 Productive wages 1,20,000 Factory overhead expenses 24,000 Establishment and general expenses 17,640 Prepare a cost sheet of the machines and calculate the price which the company should quote for the manufacture of a machine requiring materials valued at Rs. 1,250 and expenditure in productive wages of Rs. 750, so that the price may yielda profit of 20% on the selling price. [Madras, B.A. Corp., Sep. 1994] {Ans ; Cost sheet — Prime cost : Rs. 2,70,000; Works cost : Rs. 2,94,000; Cost of production ; Rs. 3,11,640; Factory overhead to wages 20%; Administration overhead to works cost ; 6%; Quotation : Selling price : Rs. 2,849; Profit : Rs. 570]5b.) et eee LI 150000 o.w {20000 . — ae ee Pour Wat 270000 Add: Foley 24-000 Wek Coach, 244000 Add : Ramum ITeyo Ceb4 ef Runduclion 311640 cet sheet | Maerua 1160 | uLeg 2% 150 | Powe coat 2.000 ' | Fadleuy ot : 24000 = " 120001 ‘ 0 ee — 750 se0ex 20:/+ (5p? : ie ULL CHat 2150 ie ‘Ramu on : 11640 . 244000 * ri DISOX b/- ee as 207470% or 20%, 58. The accounts of ABC, Co. Ltd. show the following: Rs. Material used 7,00,000 Direct labour 5,40,000 Works overhead >| 1,62,000 - Establishment overhead » | 1,12,600 What price should the company quote to manufacture a machine which will an expenditure of Rs. 1,000 in materials and Rs. 800 in wages so that it wil profit of 20% on selling price? Make necessary assumptions regarding perce# (Madras, B.Com. March! Pondicherry, B.Com. Aptl y ie ee ei cca rae {Ans : Cost Sheet — Prime cnet : De 1% an58.) cont whet OH 100 000 Sa 540000 age Prue wot 124-0000 Add: wick, 162000 ULB, 6 1402000 Add:admimn 112600 Contet P 1514 b00 Coat Sree DM 1000 D.w 800 Pours, \G00 wus Bb 1b 2000 x100 54.0000 aed) 00 30] 2040 Admrum o# ‘2600 = K100 1402 000 163.2. &/, 2040en factory overhends are absorbed 8 pe jon when facto For 8,000 units Rs. 32,000 38,500 oad 400 Chargeable expenses sa eee 70,900 Particulars a 80 wat Materials Factory overhead 38,500%7 55 , Productive wages 1,01,700 Prime cost Total cost Difference in estimated cost = 1,01,700 93,300 = Rs. 8,400 (F) Cost Sheet — Tenders and Quotations Mlustration 15 ‘The accounts of a machine manufacturing company disclose the information for six months ending 31st December 2019. Works cost Rs, : Materials used 150,000 Coe a ee Direct wages 1,20,000 Add: Profit 20% on sales or 25% on cost 220688 « 5 Factory overheads 30,000 Administrative expenses 15,000 Sale price to be quoted Prepare cost sheet for the half year and calculate the price which the Mustration 16 should quote for the manufacture of a machine requiring materials The particulars of a factory forthe year 2018 are given below: Rs. 1,250 and expenditure in productive wages Rs. 750, so thatthe pri RB yield a profit of 20% on the selling price. (Madras B.Com (G & AF) Raw Materials 300,000 (Bharathiyar B.Com Nov, 2012)[Madras, B.Com. Direct Wages 1,68,000 Solution : Works overhead 150,000 Statement of Cost Office overhead 1,68,000 months ending 31-12-2019 Selling overhead 1,12,000 Distribution overhead 70,000 Materials used Netpent ‘geno Direct wages Prime cost Add: Factory overheads Works cost ‘Add: Administrative overheads Cost of production Percentage of factory overheads to wages = [9 oq 25 ‘Add. Factory overheads (25% of wages) 750 x 100 5 Add, Administrative overheads : 5% of works cost. 218757 {In 2019, the expenses incurred on the execution of a work order: Raw materials Rs. 12,000; Wages Rs. 7,000; Assuming that in 2019 works overhead went up 20% distribution overhead went down by 10% and selling and office overheads went up by 124% , at what rate of price should the product be voted so as to eam the rate of profit on the selling price same as in 2018? ‘(Madurai , B.Com. Nov. 2008] «100 = 25% RP 750.00 2,000.00 187.50 2,187.50 109.38 2,296.88 $74.22 2,871.10v ” Cost Sheet. Tenders and Quotations r Quotation for work order im 2007 0,000 2.88,000 pass F 2 7,000 « 82238 LAdd Works overhead a Ackd Office overtvend 26.500 ue (Cost of Production tan as Selling overhead 26:00 « SEE x SES mas 2 wo Distribution overhead 26500 ~ ‘Cost of Sales Profit of 10.24% 00 salesor Profit to Sales Ratio in 2006 ‘Stock of maternal as tstJan 2016 yee ‘Stock of material as on 30th June 2016 23000 Purchase of matcriais during 6 months L000 Factory wages during 6 months 12a ‘Indirect charges during 6 months 2s000