ABSORPTION COSTING OF MRF TYRES

$ $ $
Sales 14821.92
Production cost of sales
Opening Stock 8991.82
Production costs: 76.04 1842.38
Direct Materials 1074.65
Direct Labour 691.69
Production Cost Overhead

Less: Closing Stock (3911.68)

(6922.52)
Production Overhead Absorbed
Production Overhead Incurred 2528.5
Over absorbed/ Under absorbed 1882.96 4411.46

Administration overheads incurred 159.37

Selling distribution costs 771.75 (931.12)
Profit 2556.82