From the following details, prepare a statement of equivalent production and a statement of cost, and find the value of the following:
Output transferred Closing work in progress, by the average cost method
|
Opening work in progress |
2,000 units |
|
Materials (100% complete) |
Rs 7,500 |
|
Labour (60% complete) |
Rs 3,000 |
|
Overheads (60% complete) |
Rs 1,500 |
|
Units introduced into the process |
8,000 |
There are 2,000 units in process and the stage of completion is estimated to be as follows: materials—100%, labour—50% and overheads—50%. 8,000 units are transferred to next process. The process costs for the period are as follows: materials—Rs 1,00,000; labour—Rs 78,000; overheads—Rs 39,000.