fage No.

4| stal mber ef Poges{O

Calurtta Onwerety Registyotion
Nomber->o17-121 -O898-20
Cakuta
Uniuersity Roll
Number>201lot7-11- 00183
ae Numbfr 1
Datt8|b¢|201

uxoup- uestixn-
Dirod- Cost A dired cost IS otauy 4a ceabe to the
Producton e a specific iten, such as a
PDduc Or Service, kor example, the (ost
ethe mattnal Used td eveoate pDduc
a
S a direc cost .

There art
ve feuo
direcr osts The Cost
an
.

consumabe
Sopples diret Used td
con be oridered
manuactore a
produck
a
direc cost.Houever
Production laboor
hreaque otly is
not oired
cost, becouse emploe es
hom f *here usuaslis
are not se nt
fess one
being Pmducesi 10stead, heyiocremertal teM
ore Paid-tor Hhe
dorahod o heir uoo Shs
NolUme e puducton
,irespedhvre ethe

ndrecost A cost orexpense thad i not

traceable to drety
a
deportment, produc, octvty
Custdmes, ete. As regult indirec cCasts an
aa
expense are otten alloaed to the
podus, et. for depotme nt,
example, a
monu{octun
deparmesct that moldL plostic
cests Anat are
has soma.
direty Asaceable to it,
goch as the
age and finge bene f%
direc labour 0orun ethe
io erdo ively that
defotmeo
Yage No.-> 2|
Houdever, the hneat for *he etire build.ng
aPpeas onl on one utiit bit. The heainq bill
IS an
indirec cost tdthe mofdinq depostmet
Cuenesally it s l be assigned to aus deçavthoeot3
based on he number sqare feet each
deparmeot ocropied
four objedivel e nioduchion eost
Accoonting ggten
DAscertai nmest Lost\he oin objective s tost Acouthoq
IS accomulation and ascertunment Lost Costs are
accomolated, asined and ascertai ned for each ost
byect. This cost
objec mot be a
Unit, job,operadio
PrOCess, departmentt Or Service
Escnotion e Costt > + means Pre-deteTmioasion
coss unis tD be prdU ced,obs o r ordevs tobe
executed and services
to be rendered in
impedi
futore. P+ helps to estabush a standard Cast n
to
re the
Scope aalytnq ranances and prttabiu
Cost Reduchion> (ost Aceoo0 osmsA Ao reduce
ackool
udgehicg Cotrol and Marinal i , Cost ef foods o
seice
permanectHy .tpovides techniquel to
Cos bur td maintaun or reduce
iprore quauty.
Cost CotroLCost Accouthg techniquel are
x stondard or bodqetes Cost.¥ The
applied t
Con control the
anage menr
tosts
effectively and take Corre chive
measurex o aPl aCost Accouohog
ondord Costinga. Technqued he
Poge No.5| Queston-2
2AO

A Amnual requirement e omatenal (2OdO

=
OnB
here
200
Ordering (ost per order =

1:20

EO0 2X120OoX200
20

aoO0 uniß
ni
leadtime tonsumpton OO
C2000300) x IS
Sotet Stock 800
C12000 300) x 20

'. Re- order leve

( u Minimu
m level E>
Sofety stock

&0o o o i

v ) MaXimumlevel

Eog+ Sofety Stock

200o 800
28oo units,
 n the baoks o
Storesledger Accout
o r h e moth o0e
LIFO Method)
ssue alance
Dole AN A ReceiptsS SRN
O&ntity Rae mountNo, ontitRate Amout anttRake Amout
Ast
MorchN Stock

12 2 00 OO1
MaTch 200J 8
6OO
13 2001
March 80
12-0
22
20
8O
March SD LOSd
oSO7 30
March SD- 300J Stock
 rage do.>5|
uestion
WN- Bonus
orer
A Oni
Unis

a)Actoal outpdtAo) 1920 160

(6) Stand ard output (t)| O00 oo0
Cc)Etfiency 83
Sxloo
d)Bonu (6-0) X600 NIL
2

&00o

Statement o-ges
Oorker AL
Partiulas (2)
a Baic dage (thox1s) a 88 O0 a6400
b) Deorne ss Allouucnce
uuooD 13 200
(BaicxSo-)
)House Ret Allouwonce 8o00 1920
Uuper Basicx 30. and
C 8O00
)Bonus twN-1) 800

Tota 53000 7520

 Yage 0o. 6)
Oupt
yestio-
n he books o
PocessA Ac C
athuaiaa aiRale AmouaHPatiulaas Uais eate Arooust
Moknal o00 12S 12sOc b NDrmal UsS 1SO 80 120o
doDirect wge 280eocessAc 830 116 tN6O
go Manufatonag 8600 at coxt 20 16 3sJo
ByAbnormod los
Expense Cat cost)

l00o 616C0

Proces B AC
Cy
biuulas 1Oni Rale Anoauatatitudaus Orits daleMunu
oProxess A 230 116 I46080| tbmal as 10 1Y0 1260o
o Rau Malknial 10 200 40octaoo lo-)
oDired ubges 20C00 By finishedgous 820 220 180Ho
ad Monutactunng LO7a0 a t tost)
Erpense
dD AbromalCain lo aa0 20
tat Cot)
93000 93000
 age o 1
NOrmLog Alc
Pandiuulau NaiISD Rae Auun laviuas Uaik ale Auns
do hoces A 8o 12o00By Bon SO 8O 12000
Scrap sale)
ISO 12000 1D000
o Prorexs 0 40 1260 P Abnomal to uo Yoo
uain
(at sCrap rate)
BH Bonk 80 14o 11200

12600
q0 2600
CLaio
Abnormal os MC CY
axtiulau mi ak uur Pa-tiula ait Pate Au
ao Nomad los 1o 220 2200
o IYO uOo y Poxess 8
a t ScroP Ta)
Cat cost
do Costhi P|LAC 800

2200 2200

Abnormol saa A\c

CS
PadituSas Sai Rale AuuEtula_uadt fole ut
o Process AAC ao 116 3ra0o| Pan 0 So l600
Cat tost (sCiap soe)
Cestioa lLAMC 920

3So 3s0
Pane o-8
uDorking Notes:

() Peoces A
Cost unit Total cost-Scrap Saje
npat Namad oss onis
161600 - 120OO
looo ISO

76 onit

()t rocess B:
Cost Junit 90800 - 1a000
o 0 - 90

0onit
 Vage Wo.1 |
12) oestioo-12
Cotrad Account

Dak Povticulos Parhulars

ló Maeviol Sent |3oo00 By Material consumed 16000
To oages |360000 y Makeial SAolen o000
Aekbi
To other Sxpenses52000| By Motrial
To otstondingurq GO00 By Plant 370000
To Plont 4O0co ey kadance Ya 702000
L 8Co u 8000
To bodance ba 102000 By workin frogess c/d
-0orL Cevtties
-wor Uncerthfied

10200d 10200O

To Oorterified 680000 By VauuLoad Ce

vttie 3ocDd
To Notional Protht120000

&OOOO
To PL Ac 12000
12000oxAX12aop e Notona Protit
120000
To&IP d 48Oc0
20000D
12000o
 Page No.-l0
Wbrking Notes

Cash received o l oLooc-Certèted

120O0D

Vaulwe ox cextfed
120000
xIOO

&O0000

) euoork compleed
a w e oLoov certtfled

Cohract pnce

oork completed s 50 nore

Assumin9 ofo e
and less than 1 )

Traosyer to P|
o P|L 3* Notio x ojo e cash
Transfer =

proft renewe

x 1200O0 x a0°
3

= 12O00