A product passes through two processes, A and B. Output of process A is transferred to process B at cost plus 25 per cent and finished output of B is similarly transferred to finished stock at cost plus 25 per cent. There is no work-in-progress in any process on December 31. At this date, the following information is further available:

Out of the finished stock, a portion remained at hand valued at ₹11,000 and the balance was sold for ₹58,000.
Prepare process accounts and the finished stock account. Question of overheads and opening stock is to be ignored. Also show how much reserves will be created for the unrealised profit.

Process A Process B Materials consumed *8,000 *24,000 Wages 12,000 16,000 Closing stock (valued at prime cost) 4,000 12,000