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Cost Accounting Formula S
Cost Accounting Formula S
TERMINOLOGIES
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Cost of Goods Sold = Goods Available for Sale Closing Finished Goods
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Labor Cost
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Material Cost
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EOQ =
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Safety Stock = (Annual Demand) x (Max Lead Time Min Lead Time)
365 x (Avg Lead Time)
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= Answer Times
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365
Labor
Premium Bonus Plans
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Halsey Bonus Plan = (Time Allowed Time Saved) x (Rate per Labor Hour)
2
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= Answer %
Time Allowed
Step-II
Bonus Pay = (Basic Pay) x (Bonus Rate %) = Answer Rupees
Step-III
Now Total Pay = Basic Pay + Bonus Pay
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XXXX
XXXX
XXXX
(XXXX)
Variable COGS
XXXX
(XXXX)
XXXX
(XXXX)
XXXX
XXXX
XXXX
XXXX
(XXXX)
XXXX
a.
Fixed Cost are for one month only then they will be treated as Period Cost.
b.
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Absorption Costing
Sales
XXXX
XXXX
+ Production
XXXX
(XXXX)
XXXX
XXXX
XXXX
Gross Profit
(XXXX)
XXXX
XXXX
XXXX
XXXX
(XXXX)
XXXX
e.
XXXX
(XXXX)
XXXX
g.
h.
Inventory = Stock
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Standard = Budgeted
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Best Regards,
(DILAWAR ABBAS)
B. Com (IT), MBA (Finance)
digital_darwaish@hotmail.com