ABC manufactures and sells metal shelving. It began operations on Jan 01. Costs incurred for...
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ABC manufactures and sells metal shelving. It began operations on Jan 01. Costs incurred for the current year are as follows:
DM Rs 1.4 lacs V
DL Rs 0.3 lacs V
PLANT ENERGY COSTS Rs 0.05 lacs V
IND L Rs 0.1 lacs V Rs 0.16 lacs F
IND other Rs 0.08 lacs V Rs 0.24 lacs F
MKT. DIST and Cust OH Rs 1.2285 lacs V Rs 0.4 lacs F
Admn OH Rs 0.5 lacs F
Variable manufacturing costs are with respect to units produced; variables MDC are wrt to units sold
Inventory data: begin Jan 01 and ending Dec 31
DM 0 kg 2000 kg
WIP 0 units 0 units
FG 0 units ? units
Production in the current year was 1 lac units; 2 kg of DM is used to make 1 unit of FG. Revenue were Rs 436800. The FG inventory ending is at average unit manufacturing cost for the current year and was Rs 20970. Calculate period ending DM inventory cost; period ending FG inventory in units; SP per unit; operating income
and
If in the above problem, Indirect other manufacturing costs are not inventoriable cost and there are 9000 units of FG inventory on Dec 31. Then, calculate FG inventory ending total cost, and operating income of the year
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