Practice Questions on Cost Accounting

q1. Use FIFO  pricing method and prepare stores ledger

Day 2 Purchased  4000 units @Rs 4 per unit
Day 3 Purchased 300 unis @ Rs 5 per unit
Day 6 Issued 2000 units
Day 8 Purchased  6000 units@Rs 8 per unit
Day 10 Issued 4000 units
Day 15 Refund of Surplus from a work Order 25 units @rs 5 per unit
Day 20 Issued 1000 units
Day 23 Issued 2000 units
Day 26 Returned to Vendor 300 units
Day 29 Purchased 4000 units@  Rs 5,5 per unit
Day 31 Issued 3000 units
 The sore keeper has informed that on Day 15 he haD FOUND A SHORTAGE OF 5 UNITS AND ON DAY 3O another shortage of 12 units



Q 2
Asus Engg Co has shared the following information
Sales 75 L
DE1 0 L
DL   5L
Prime Cost 15L
Production OH 30 L
Production Cost  45 L
Admin, S&D OH   15 L
Total Cost 60 L

Profit   15 L

An enquiry has been received and the production deptt has prepared the following estimates of the prime cost  required for the job

DM     2500
DL        2000
Prime Cost 4500
Labour hours required  80
Machine hours reauried   50

Calculate OH absorption rates for absorption of production OH by different methods and comment of the suitability of each method
Calculate production OH cost of the job order based on the above rates

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Solution to be shared day after tomorrow

More questions for practice tomorrow

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