COURSE NAME: COST AND MANAGEMENT

SECTION: AM

STUDENT NAME : MUHAMMAD NASIR

STUDENT ID : SP19-BBAH-0001
SUBMISSION DATE : 3-Apr-2020
TEACHER NAME : SHAHID IQBAL

SP2020

QUESTION NO 1
SCHEDULE FOR PURCHASES OF RAW MATERIAL
S# Schedule For Direct Materials Used:
1 Raw Materials (Beginning Inventory ) S ept 1 7,000
2 Add: Net Purchases of Raw Materials
3 Cost of Raw Materials (Ending ) 7,400
4 Direct Materila Used -400

S# Schedule for Cost of Good Manufactured:

1 Direct Materila Used -400
2 Drect Labor 30,000
3 F.O.H (APPLIED) 150% OF D.L COST 45,000
4 Total Manufacturing Cost 74600
5 Add: Work in Process (Beginnng ) inventory September 1 9,600
6 Total work in Process 84200
7 Less: Work in Process (Ending ) Invetory September 30 13,000
8 Cost of Goof Manufacturer 71,200

S# Schedule for Cost of Goods Sold:

1 Finished Goods (Beginnng )Inventory September 1 15,000
2 Add: Cost of Good Manufactured 71,200
3 Cost of Goods Availbale for Sale 86,200
4 Less: Finished Goods (Ending ) Inventory September 17,500
5 Cost of Goods Sold (unadjusted) 68,700

S# Computation of Adjusted Cost of Goods Sold

 1 Unadjusted cost of goods sold 68,700
2 Add: Underapplied F.O.H 3200
3 COGS ADJUSTED 71,900

S# Calculating of Total Operating Expenses :

1 Marketing & Selling Expenses
Marketing Expenses 14,100
2 Administrative & and Gournal expenses
Administrtive expense 22,900
Total operating expense 37,000

HANSFORD INCORPORATION
s# INCOME STATEMENT
1 For the Period ended September,30
2 Net Sales Revenue 182,000
3 Less: Cost of Good Sold ( Adjusted ) 71,900
4 Gross Profit 110,100
5 Less: Operating Expenses 37,000
6 EAT (Earninig After taxes )/ NET INCOME 73,100

QUESTION NO 2

S# Schedule For Direct Materials Used:

1 Raw Materials (Beginning Inventory ) 20,000
2 Add: Net Purchases of Raw Materials 60,000
3 Cost of Raw Material Available for sale 80,000
4 Less : Raw Material and Inventory 18,000
5 Direct Materila Used 62,000

S# Schedule for Cost of Good Manufactured:

1 Direct Materila Used 62,000
2 Grinding Department 8000 5.6 44800
3 Machining DePartment 4,600 6 27600
Drect Labor 72400
4 Grinding Department 8000 6 48000
5 Machining DePartment 4,600 8 36800
6 Factory Overhead 84800
Total Manufacturing 219,200
8 Add: Work in Process (Beginnng ) inventory 15000
Total work in Process 234,200
9 Less: Work in Process (Ending ) 17600
Cost of Good Manufacture 216,600
S# Schedule for Cost of Goods Sold:
1 Finished Goods (Beginnng )Inventory 22,000
2 Add: Cost of Good Manufactured 216,600
3 Cost of Goods Availbale for Sale 238,600
4 Less: Finished Goods (Ending ) Inventory 17,000
5 Cost of Goods Sold (unadjusted) 221,600

CONVERSATION COST = Dirct labor + factory over head

Conversation cost 72400 84800
Conversation cost 157200
NAGEMENT
Date 4/2/2020
Time 8:34 AM