A product passes through three processes I, II & III. From the following information prepare the process accounts assuming that there were no opening or closing stocks.
|
Process I |
Process ll |
Process III |
|
|
Materials |
1,000 |
1,500 |
500 |
|
Labour |
5,000 |
8,000 |
6,500 |
|
Overheads |
1,050 |
1,188 |
2,009 |
|
Actual output (units) |
9,500 |
9,100 |
8,100 |
|
Normal loss |
3% |
5% |
8% |
The wastage of Process I was sold at 25 paise per unit, that of Process II at 50 paise per unit and that of Process III at Re 1 per unit.
Raw materials of 10,000 units were introduced into Process I in the beginning at a cost of Re 1 per unit.