Process is a distinct in manufacturing or production, wherein Raw Material is converted form into another, soe aaa ott tn Raw e ae ‘Costing: j2 method of costing, whereby costs are charged to processes or operations, and averaged over units produced. method is useful in the manufacturing of products like steel, soap, chemicals, rubber, vegetable oil, paints, St For these roduc, the production process is continu, ind the output of one process ofthe following process till completion é an of Process Costing / Factory is divided into a number of Processes, Cost Centres or Departments. Each such division is a stage of jon or 2 Process. Fee ee etd ieee cine Tun sequentially, selectively or {[Note: Sequential Processes are carried out for single product, whereas parallel processes are cared out pit-off point, in respect of Joint Products.) of one process becomes the input of another process. The output of the Final Process is the Finished Product. ‘Product usually is of homogeneous (similar) units not distinguishable from one another. ‘are presumed continuous in nature, and hence one-to-one input-output reconciliation is not possible, Le. it is be to trace the identity of any particular lot of output to any lot of input materials, Is the Process itself, while Cost Unit Is the output of the process, Scanned with CamScannerTes not averaged. sof work | Cost frst ascertained for the | raged over the rumber of uns prdian’ Cost of one process is transferred to There is no transfer of costs from one Job t0 not cs, by reference to Process Flow. anothe ‘at diferent | The concept of equivalent production i app Dart jobs might be compl» vise cost | presumed that all unts of doseg Wp 8 incurred ti date. ~ a "ak necessary, since each Job | Comparatively easier, Since process 5 's distinct from the other. stondordised. Tess scope for Cost Reduction, | Cost Reduction scope is high, due to mas: _ i decisions. | production and economies of scale. 11.1.4 Process Cost Ascertainment The! ‘costs are ascertained for each process and debited to respective Process Account — ‘Cost Item ‘Treatment ~ Cost of Materials and Supplies for each process are ascertained from Stores Requistions, 1. | Direct Materials | + For every subsequent process, Cost of Material consists of ~ (2) Cost of Output of pres process transferred in, and (b} Additional Material required for the subsequent process. ‘© Labour Cost is ascertained from Job Cards and Wages Analysis Sheet. 2. | Direct Labour + When workers are engaged in various processes, Wages are apportioned over different processes on an appropriate basis, e.g. time spent. © Direct Expenses like Royalty, Depreciation, Maintenar Insurance, etc. are | Bact Repenese Pewtirat tetigiicara tons Ga fe cao aa + POH are apportioned ove diferent a suitable é ae cea ota! oye Meret oxeene oy ng bass eg: Porat Process Loss \Note: Administrative and Selling OH may be treated as Period Costs, and directly debited to PAL Alc. ‘11.2 Process Losses-A/eg for Normal & Abnormal L688 /Gain 14.2.4 Meaning of Terms Explanation + Process Loss defined as the lss of material arising during the course ofa processing operation. + _ Process Loss = Input Quantity Less Output Quantity. * Mara Loss (NL) s the loss of mater de to inherent and unavadable ‘On nature of material, + Normal Loss can be calculated in any (2) Based on Input: Normal Loss (b Scanned with CamScannerprocess Costing . Abra Ga ay oe oa | {b) Abnormal Gain « Atul Proc ae rpc Prono 088 Less Process Loss. (when Process Loss < Normal LOSS) Procedure for Process Losses ‘Loss = Input Quantity Less Output Quantity 7 Loss ‘either based on Input or Expected Production. bh d on Input or Expected Production. b Loss or Abnormal Gain, as the case may be. (Step 1 Less Step - Lysis a i ert es {) Gross Cost, i.e. Total of Debit Side of Process Accourt, and 27,000 | By Abnormal Loss at 20 pu soo | 10,000 | 5,000 | 97,000 Total [5,000 | 97,000 797,000 EPer unit = 500 —1s0)units = © 20 per unit. 8 12,000 24000 | 6,000 5,000 | 3 recovered percentage of Direct Wages, Selling Expenses were 5,000. There are not othe Output of Process A was passed onto the next process, andthe balance was sold. The Scanned with CamScanner‘By Finished Goods Control at & 12.5 (1/3 of 7,500) | 2,805 Pr 12000 | by Process BU at & 12.5 pu (2/3%0f7 500) | 5,000] gaan 6,000 | By Normal Loss A/c 400 | “bop 5,800 | By Abnormal Loss A/c at € 12.5 p.u. 100 | 125) Total 8,000 | 95,300, 2. Process B A/c z Particulars - 5,000 | 62,500 | By Finished Goods Control at € 2.8 | 4,800] Lae 24,000 | By Normal Loss A/c at % 10 pu 500} sau 5,000 11,600 300 6,540, 5,300 | 1,09,640 Total 5,300 | 1.03.0 "Note: Total Overheads = ® 17,400 apportioned in the ratio of Direct Wages Le, 1:2. Toerpein the accounting treatment of Norma Los, Abnormal Loss and Abnormal Gain, the following accounts are shown - 3. Normal Loss A/c Particulars Qty z Particulars Qtty z “To Process A Alc $00 | 800 | By Bank (Scrap Realsation at € 2.00 pu) 400 | 400 | 800 ‘Sub-Total | 400} s00 500 |" 5,000 | By Bank (Scrap Realisation at @10.00 pu) | 200) 20001 By Abnormal Gain ~ adit. transfer 300 | 3.000 ‘Sub-Total 500 | 5,000 ‘Sub-Total [S00 [5,000 18 units will be scrapped, The balance 300 units constitutes Abnormal ‘crapped, Hence, this amount is transferred to Abnormal Gain A/c. . Costing Profit & Loss A/c (t Scanned with CamScanner SSSRTP, M99, N07, M06, M10 Toothpowder from two Raw Materials A and 8. Material A is Process Il whore Materia B is introduced. During March, the Company Into Process |. Production details of Process | & Costs are ~ (00,000 kg at ® 6 per kg 63 hours at ® 30 per hour © 80 per hour 90 percent of Input 125 percentage of Labour Cost 45 hours at& 20 per hour 40 per hour 95 percent of Input ‘50 percentage of Labour Cost 21.00 per kg Twas 96,000 kg which was transferred to Finished Stock. ry for a quantity of 1,700 kg of specially prepared waste material from Process |. This material would have d and packed incurring the following cost - Processing - 0.90 per kg, Packaging -* 0.40 per kg. d waste incurs no process loss and could be entirely sold for ® 3.20 per ko. Inthe Process Cost Accounts, before the inquiry was received and show the Overall Profit or Loss. Profit and Loss Account from the Abnormal Gains or Losses in processing. ‘on whether or not they should produce 1,700 kg of specially processed waste material from he effect on the overall results of the Company. Notes Process 11 41. LOSS ANALYSIS Process Loss = Input Quantity ~ Output Quantity = 1,00,000 ~ 96,000 = 4,000 Normal Loss ‘Abnormal Gain 5% of 1,00,000 = 5,000 _(bal. ig) 1,000 2. COST ANALYSIS Cost Quantity 531,463 100,000 5,000 5,000 5,26,463 ‘95,000 © 526.463 soo = * S417 pu Scanned with CamScanneriyi i= transfer (® 6.68375 pu) | 70,0097 we ‘To Processing Cost (63 x 30) By Normal Loss A/c (at 1.50 pu) 8,000 ae i To Direct Labour (63 x 80 ph) By Abnormal Loss A/c ( 6.68375 pu) | 2,009 Bay Fr To General OH (125% of Lab) (See WN for Rate C ation) { Total = Total ' 2. Process IT A/¢ Particulars t To Process I — transfer in ane | 4,67,863 | By Fin.Goods Control (at ® 5.5417 pu) To Direct Materials (Mat! 8) 30,000 | 60,000 | (See WN for Rate Computation) To Processing Cost (45 x 20) - 900 To Direct Labour (45 x 40) es 1,800 | By Normal Loss A/c (at ® 1 pu) To General OH (50% of Lab) i. ‘900 To Abn.Gain(® 5.5417 pu) 1,000} 5,540 Tout 1,01,000 | 5,37,003 Total 3. Normal Loss A/c. tty R Particulars ; To Process 1 AVC 8,000 | 12,000 | By Bank (Scrap Realisation at % 1.50 pu) fae Sub-Total 8,000 | 12,000 Sub-Total To Process II A/c 5,000 | 5,000 | By Bank (Scrap Realisation at & 1.50 pu) 4,000) 4009, By Abnormal Gain ~ adit. transfer 1,000} 1000) Sub-Total 5,000 | _ 5,000 Sub-Total [5,000 5.000" Note: Normal Loss is separately sub-totalled in respect of each Process. * In Process TL, only Process Loss of 4,000 units will be scrapped. The balance 1,000 units constitutes Abnormal Gain, ic ‘unexpected good production, which is not scrapped. Hence, this amount is transferred to Abnormal Gain Account. 4 Loss A/c Particulars Qty z Particulars Qtty t To Process TA/c 2,000 | 13,367 | By Bank (Scrap Realisation at ©1.50 pu) | 2,000) 3,000 By Costing Profit & Loss A/c (bal.fig) = Total 2,000 | 13,367 Total 2,000 | 13,367 5. Abnormal Gain A/c Particulars Qty z Particulars Qty g To Normal Loss a/c (transfer) To Costing Profit & Loss A/c (b/f) L Total 1,000 1,000 4,540 [4,000 | 5,540 ‘By Process II A/c Total Scanned with CamScannerProcess Costing ___ Process B I Process C as 1,500 | z 500 © 5,000 | 26,500 1,000 | 1 99t " ; se wilt ean en Ts tn OF Procen 'N’ wae sold a © 0.25 por ni a8 sh . Beceiione The Final product was soldat 10 per unit fetching @ profit of 20% on Sales z ames | Oy | ‘By Process B = Production transfer 9,500 | 25,075 By Normal Loss (5% of 10,000) | 500 125 a ee Total 10,000 | 25,200 “B” Account Qty ag Particulars qty] t] 9,500 | 25,075 | By Process C - Production transfer 9,120 | 48,185 41,500 | By Normal Loss (4% of 9,500) 3a0| 190 8,000 1,000 12,800 9,500 | 48,375 Total 9,500 | 48,375 C Account, Qtty z Particulars Qty | z 9,120 | 48,185 | By Finished Goods A/c- transfer yy] ? By Normal Loss x} 2 Total 9,320 | 66,576 Price = ® 10 and Profit is 20% on Sale Price, Cost per unit = € 10 less 20% = @ 8 per unit. Value of Output transferred to Finished Goods Control Account = ¥ units x £8 = SY Scanned with CamScannerTI Account, Particulars Peete sre anon on cont nt herr nf A it —— ~~ 160,000 ee © 40,000 ‘ 39,000 me Normal Loss ‘stg © Output ‘Loss realisation per unit ae 10 yd proht aes The Company's policy ist ithe Salling Price ofthe end product in say 30 8 ld Rt I ng vores seth conan and (2) Determine the Selling Price per unit ofthe end produ, Solution: forking Notes : Working Na < 1, LOSS ANALYSIS ee frcinee | Process Loss = Input Qtty ~ Output Qtty tes = Beka ~utoat ty = 18,000 - 17,400 = 600 areal ico erie Lhe Normal Loss ‘Abnormal Gain 8% of 2000 = 1,600 (bal. fq) = 400 5% of 18,000 = 900 (bal fig) = 2. COST ANALYSIS pO ae Particulars: ‘Cost Particulars Cost | Guanes, Gross 339,000 20,000 Gross 4,38,750 itm) | (2) Normal Loss (3,200) (1,600) | (-) Normal Loss (2, i ‘Net '3,35,800 18,400 Net. a ime 7 Etectve Cost per unit = £32580 _ 3g 25, i= = = per kg Effective Cost per unit = T= %25.50perig | | js 1. T Account i Particulars Qty z Particulars Qty z if To Basic Raw Materials 20,000 | 2,00,000 | By Process II - tfr (at € 18.25 per kg) 18,000 | 328m 2 To Direct Materials 60,000 | By Normal Loss a/c (at 2.00 per ka) 1600) 3m | To Direct Labour 40,000 | By Abnormal Loss a/c (at € 18.25 per kg) 0} 73m? ‘To Production OH 39,000 a Total 20,000 | 3,39,000 Total : i x 2 8 By Finished Goods Control afe ~ transfer (at & 25.50 per kg) ‘By Normal Loss a/c (at & 3 per kg) 27 LEH ERT a Scanned with CamScannersrocess Costing ery tional Loss Account z nas £ Particulars aey. 00 7,300 | By Bank a/c Scrap Value Recd (® 2/Ka) 00) ced By Costing PA. a/c ~ balancing figure | 6,50 __|__ 400 [7,300 Total ‘400 |_ 7,300 Gain Account < tty 100 Total 300 | 7,650 ted and Actual Production ~ in gs of Basic ator @& 12 party andes tt oar poensnng nPrtyngOspainant Seer ear ceauted to € 4.200 and Overhead was applied @ 150% of the Labour Cost. indirect wre nodvd into the proces, The Nomal Yl tom the Process is 90% 9,19 ge of output was M20 perk. - Any difference in weight between the input of Basic Material and output of Purified a licence for which Royalty @ & 0.20 per kg of Purified Material produced is paid. Prepare ~ (2) Normal Loss Account, (3) Abnormal Loss/Gain Account, and (4) Royalty Payable Account. Purifying Process Costs comprise Basic Materials, 1, LOSS ANALYSIS Consumables), Wages, OH input Quantity ~ Output Quantity E 10,000 - 9,100 = 900 recognized at the beginning of the =) "Normal Loss Abnormal Gain 10% of 10,000 = 1,000__(bal.fig) 100 _ Yield of 90% of Input 10,000 kg, | _2 COST ANALYSIS (fom Process A/c) _ i, if there is an Abnormal Gain, payable is recognized as an ‘Abnormal Gain Account itself. period, if there is an Abnormal Loss, ‘extent of short production is either permissible as per the terms of Qtty | z 9,100 | 1,33,770 By Finished Goods Control A/c (output tr) | (at 14,70 pu as per WN above) By Normal Loss (10% of 10,000) at € 1.50 | 1,000 1,500 100 ue + 10,100 Total 10,100 | 1,35,270 | d initially based on Expected Production = (90% of 10,000 kg) x € 0,20 = & 1,800. 2.Normal Loss Account Qtty £ _Particulars _ : Qty ak 1,000 1,500 | By Bank-Scrap Value Recd (at & 1.50/kg) 900 1,350 By Abnormal Gain A/c | | 150 7,000 | 1,500 ee 1 1,500 | 11.43 Scanned with CamScanner2 er. Padhuha's Students’ Handbook on Cost and Management Accounting ~ For CA Inter Gain Account. Particulars ay |_| j To Normal Loss A/c — adit tf 100} 150 I To Royalty Payable Ac - akitional Royalty Payable - adjustment tft 2 ; To Costing PAL (bal. fig) 1,300 Total 1,000 | 1,470 4 Re Payable Account. — ce | To Bank (Pai For Actual Output) By Purifying Process A/c (Initial Recognition) (9,100 kgs x % 0.20) | 1,820 By Abnormal Gain A/c(AddnI for Extra Output) (Note) 4 [ Total 1,820 Total Note: Alternatively, the Additional Royalty Payable for extra output can be directly transferred to the debit ofc, ‘Account, instead of being routed through the Abnormal Loss Account. In such case, the transfer tom Abnors Gain A/c into the credit of Costing P&L will be % 1,320. y , 2, Operation Costing - Reverse Working , a. y {Operation Costing - Reverse Working on Input Quantity a, * Product KLIM passes through 5 operations. The ‘of the 5® Operation becomes the Finished Product p Recon, Output an Latour and Overheads ofeach Operation ora peed ares wade — Operation ‘Input (units) Rejection (units) Output (units) Labour & 08%) p 1 21,600 5400 16,200 194400 2 20.280 41350 18,900 141,750 2 3 18,900 4350 17,880 245,700 ‘a 4 23400 4,800 21,600 140400 2 5 17,280 2880 14,400 6,400 5 You ae required to ~ : {Determine the Input required in each operation fr one unto Final Output. : 2 Calculate the Labour and | he Labo ne enact at each operation for one unt of Final Output and the Toll Labour nd = a gi N S N 8 Le Scanned with CamScannerProcess Costing of output : 4 3] £245,700 | ¢i40,00 | 06001 18,900 | 23,400 17,280 ‘Abnmi Loss(b/f) 500} 100% 500 70% 350 70% 30 Closing WIP 2,500 | 100% | 2,500 | 80% | 2,000 80% | 2.000 Total _| 25,000 Total 25,000 20,250 20,500 | 20,500 Note: Abnormal Loss = Total Scrapped Units 3,000 ~ Normal Loss 2,500 = 500 units, Transfer out of Fresh Units = Total Transfer less Transfer out of Opening WIP = 19,500 — 2,250 = 17,250 units. >? Statement of Cost per Equivalent unit Cost Element Total Costs | Equivalent Units Cost per Equivalent Unit Material /500 ‘Less: Scrap Value of Normal Loss_7,500 81,000 20,250 t Labour € 20,500 20,500 a Overhead ta, 20,500 2 L Total [12,500 acl eee ities 11,28 Scanned with CamScannerprocess Costing 3. Statement Material at € 4/eu Of Cost Apportionment Total MR Ae Labour at? 1/eu | t2jeu 7 tas x4 = 00 esse = nash} —iaisn 27-9300 | 1438 390%1= 350 350x2= 700 ie 2,000 x 1 = 2,000 2,000 « 2= 4,000 16,000 [____ 20,800 41,000 | __1,42,500 of Tiaer= Oper WIP Cos © 11380 Gime wet ann ass Total 1,34,700. } Qty By Process Ii - transfer (Note 3) 19,500 | 1,34,700 By Normal Loss (at & 3 p.u.) — By Abnormal Loss, (Note 3) | se WIP cfd (Note 3) 2,500 | __ Total __ 25,000 Particulars 7. By Bank (Scrap Realisation at £3 pu) | 6. Loss Account ‘Qtty x Particulars I qey| Se) 500 | "3050 |'By Bank (Scrap Realisation at 73 pu) | soo] 1,500 ‘By Costing P & L (balancing figure) 1,550 500 Total It 500 | 3,050 nw 8,000 units at ¢ 75,000 Material 100%, Labour and Overhead 50% 7,37,500 %3.40,600 2% 1,70,300 14,000 units, Material 100%, Labour and Overhead 80% ‘18,000 units, Material 100%, Labour and Overhead 70% 4,58,000 units | A 5% of Total Input including Opening WIP _ 85 per unit | Scanned with CamScanner‘Statement of Cost Apportionment em Pectin tae Labour at € 2.01/eu | OH at? L.01/eu| Toy ‘Transfer to B 1,50,000 x 4 = 6,00,000 | 1,53,200 x 2.01 = 308,028 1,53,200 « 1.01 = 1,54,014| iggp Abnormal Loss ‘4soox4a) 18,000} 3600%2.01= 7,238 360% 1.01= 3,619) days] ‘losing WIP 18,000 x4= 72,000 12,600 x 2.01= 25,334 | _ 12,600 1.01 = 12667| —t,1059;| LJ 6,90,000 3,40,600 | 1,70,300 ing WIP Cost € 75,000 + Current Value Addition ¢ 10,62,042 = Total ®11,37,042, ‘Note: Total Cost of Transfer= Openi 4 ‘A Account (not required in Question, prepared as WN Purposes only) Particulars Qtty © ee = t To Opening WIP b/d 3,000 | 75,000 | By Process B- Transfer (Note 3) | 1,58,000| 11,3706) To Direct Materials 1,82,000 |. 7,37,500 | By Normal Loss (Scrap Rate ® 5 pu) 9500! 4750 To Direct Labour 3,40,600 | By Abnormal Loss 4500! 28857 ‘To Production Overheads 41,70,300 | By Closing WIP c/d 18,000 4.1000, Total 190,000 | 13,23,400 Total 1,90,000 | 13,23,400 j= AbnormalGain INT 23. Equivalent Production - FIFO — First Process: Thali cn ptanet PsniofBLns 1,500 units at 15,000, Degree of Completion is Materials 100% , Labour & OH 33-19"% 18,500 units at € 52,000 Direct Labour 14,000 and Overheads & 28,000 5,000 units, Degree of Completion is Materials 90%, Labour & OH 30% 410% of total input (Opening WIP plus units put in). (Scrap Valve € 2 pu.) Scanned with CamScanner. process Costing 2, Statement of Cost por & sy __|__Total Costs | Equivatent Units | Cost per Equivalent Unit 52,000 | 46,000 16000 | "9 14,000 14,000 | ti 8,000 14,000 1 | _Material at €3/eu | Labour at ¢1/eu OW at? 2/eu | Total 13,500 x 3 = 40,500 |" 14,500 x 1 = 14,500 | 14,500 x 2 = 29,000 84,000 (2,000) x 3 = (6,000) | (2,000) x 1 = (2,000) | (2,000) « 2 = (4,000) (12,000 4,500 2m 1,500 x 1 « 1,500 1,500 « 2 = 3,000 | 18,000 To 14,000 23,000 90,000 a Sidr Opto WI Gms 15 00 GSI SOIT 4. Process I Account c Particulars | Qty) et 41,500 | 15,000 | By Process II — transfer (Note 3) 15,000 | 99,000 18,500 | 52,000 | By Normal Loss (Scrap Rate ® 2 pu) 2,000 4000 48 Normal Lows ware sold at € 4.50 per unit. Lone ware sold at © 9 per unit. poess Il, ie, @ subsequent process. Hence, Materiais Matera out to om Input into Process I, and Scanned with CamScanneré Pasthuika's Students’ Handbook on Cost and Management Accounting ~ For CA Inter em _| Input ‘Opg WIP Nil | FG Prodn 39,500 | 100% | 39,500 re | Transfer | 42,000 | Normal toss | 840 | atin From PI ‘Abn.Loss 460 | 100% 460 | 100% ia | Qosing wir | 1,200 | 100% | 1,200 | 100% | _1 Total | 42,000/ Total | 42,000 41,160 Sate ‘Note: Normal Loss = 296 of Input = 2% of 42,000 = 840 units. Abnormal Loss is the balancing figure of 2. Statement of Cost per Equivalent Unit [ Cost Element = Total Cost | Material A ~~ (42,000 units ® 12 p.u) 5,04,000 ()__NRV oF Normattoss__|______ (640 uitsx 4.50 pu) _ 3,780 [Net st | 500,220 Material B 61,530 Labour 88,820 Overheads 1,76,400 8,26,970 ie Total "Note: Cost per Equivalent Unit is rounded off upto two places after decimal point only. 3. Statement of Cost Apportionment (Note: Rounding Off amounts are adjusted Ttem Material Aat®| Material B at 7 Labour at ® 12.15/eu 1.49/eu 2.19/eu Pens Stone ee Sos cal Pe ‘Aonormal Loss 2» ae : Boe 218 cme | eis omit ‘By Fin. Goods Control (Note 3) By Normal Loss (at € 4.50 pu) By Abnormal Loss (Note 3) By balance c/d Scanned with CamScanner{24 Preparatin of accounts for Process Process III, ond (2) Matera 8 (a) Matersl At Input Particulars lowe Output Transer from: See 2,000 | — Opg WIP 2,000 400 ns 300 53,000 | - fresh en =f 46,000 | 100% | 46,000 | 100% | 46,000 | 100% | 46,000 insfer | 48,000 Normal Loss 2,500 a oe ae ao Abnormal Gain (b/f) (500) | 100% | (500) | 100% | (500)| 100% | (500) Gosing WIP. 5,000 | 100% | _5,000| 70% | _3,500| 50% | 2,500 Teal__| 55,000 Total 55,000 50,500 49,400 48,800 Normal Loss = 5% of Expected Production = 5% of [Opening WIP + Fresh Units ~ Closing WIP] = 5% x (2,000 + 53,000 ~ 5,000) = 2,500 units, Transfer out of Fresh Units = Total Transfer Less Transfer out of Opening WIP = 48,000 ~ 2,000 = 46,000 units. Labour and OH are complete to the same degree of completion, hence considered as a single column here. ‘Abnormal Gain is taken as 100% complete in all respects, since it represents actual good production. 2. Statement of Cost per Equivalent Unit Cost Element Total Costs | Equivalent Units | Cost per Equivalent Unit ‘Material A 4,11,500 ‘Scrap Value of Normal Loss __7,500 % 4,04,000 50,500 ws Material 8 %1,97,600 49,400 tt Labour 97,600 48,800 e2 Overhead 48,800 48,800 g1 Total %7,48,000 3. Statement of Cost Apportionment Mati.A att 8/eu| Matl.B at 4/eu Lab.at € 2/eu Od at t/ew Total 00xB~ 3,68,000 | 46,400 4=1,85,600 | 46,800x 2=93,600 | 48,800 1 ~ 46,800] 654,000 “oo eB = (4000) | (500) x 4 = (2,000) | (500) x 2 = (1,000) | (500) x t= (S00) | (7,500) 5,000 x 8 ~ 40,000 | 3,500x4=14,000| 2,500 x 2= §,000 | _2,500x1=2,500| __61,500 1,97,600 97,600 48,800 | 7,48,000 Qtty z 25,750 | By Process IV ~ tfr (Note 3) 48,000 | 7,19,750 4,11,500 | By Normal Loss (at Scrap Rate € 3 pu) By Closing WIP c/a Scanned with CamScanner