The profit as per cost accounts is Rs. 82,650. The following details are ascertained after the comparison of cost and financial accounts:
|
Cost Accounts Rs. |
Financial Accounts Rs. |
|
|
(a) Opening stocks: |
||
|
Materials |
16,300 |
16,500 |
|
Work-in-progress |
10,000 |
10,500 |
|
(b) Closing stocks: |
||
|
Material |
18,000 |
17,200 |
|
Work-in-progress |
8,000 |
7,600 |
|
Finished goods |
4,000 |
4,500 |
(c) The director’s fee is Rs. 500, interest paid Rs. 400, reserve for bad debts Rs. 250 and transfer fees collected Rs. 150, dividends received at Rs. 100 are recorded only in financial accounts.
(d) Rent charged in costing but not in financial accounts is Rs. 3,000
(e) Preliminary expenses written off is Rs. 6,500 (not charged in cost accounts)
(f) Overheads charged in financial accounts were Rs. 60,600, recovered in costing was Rs. 63,100
Find out profit as per financial accounts and draw up a reconciliation statement.