Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. accounting
  3. question 3 (25 marks) olympic company operates a p

QUESTION 3 (25 MARKS) Olympic Company operates a processing operation involving two stages, the output...

80.2K

Verified Solution

Question

Accounting

image
QUESTION 3 (25 MARKS) Olympic Company operates a processing operation involving two stages, the output of process 1 being passed to process 2. The process costs for the month of April 2021 were as follows: Process 1 Material Labor 2,000 kg at RM4.05 per kg RM4,000 Process 2 Material 1,250 kg at RM1.52 per kg Labor RM10,000 Production overhead is absorbed into process costs at a rate of 150% of direct labor costs in process 1 and 120% of direct labor costs in process 2. The normal loss in each process is 10% of input and scrapped units sell for RM0.50 each from process 1 and RM3 each from process 2. The output during the month of April 2021 was as follows: Process 1 1,750 kg Process 2 2,800 kg There was no inventory of work in progress at either the beginning or the end of the period and it may be assumed that all available waste matter had been sold at the prices indicated. Required: List THREE (3) examples of continuous production in the process costing. (3 MARKS) b. Differentiate between the normal loss and the abnormal loss. (4 MARKS) Prepare the following process accounts by showing the scrap, abnormal loss or gain: a. c. i. Process 1 (8.5 MARKS) (9.5 MARKS) ii. Process 2

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Zin AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students

Q

Your company has a Quality Control ( QC ) department who assist you in TQM activities....

Operations Management
Q

A fuel consists of a mixture of gases the composition of which is CO -20%, C2H2...

Mechanical Engineering
Q

Hello, In your own words, please if you were to teach geometry such as triangles and quadrilaterals,...

Advance Math
Q

Which of these is not a component of demographic analysis Religious affiliation O Gender O...

Biology
Q

b Jae ti Hort u

Geometry
Q

6 1 point B C F E S D A If chord AB is congruent...

Geometry
Q

The reference angle for an angle in standard position on the coordinateplane with measure 170is:...

Basic Math
Q

Use the true conditional statement shown below State If a number is negative then its...

Calculus
Q

A catering company prepares and sells food items Let x be the number of items...

Algebra
Q

On March 1, 2021, Cheryl Corp. issued a $500,000,7% two-year bond at a premium price...

Accounting
Q

You are siven the following financlal Information about your compary $11,000,000 00 $7.150,000.00 700.000.00 3150,000.00...

Accounting
Q

Decisions about allocation of officers in an agency are generally made A. by first line...

Accounting