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2011 - Dec (3] (c) You are the Cost Auditor of INDIA JUTE MILLS LTD. for the year ended March 31, 2011. That company had a strike from 15.9.2010 do 17.11.2010. Although the company resumed working from 18.11.2010, normal production was achieved only from 12.12.2010. The expenses incurred during the year ended March 31, 2011 were: (Amount in lakh) Salaries and wages (Direct) 450 Salaries and wages (Indirect) 220 Power (Variable) 160 Depreciation 140 Other fixed expenses 260 Detailed examination of the records revealed that of the above, the following relate to the period 15.9.2010 to 17.11.2010: (Amount in lakh) Salaries and wages (Indirect) Depreciation (Non-productive) 50 Other fixed expenses 110 Required: As a Cost Auditor you are requested to calculate abnormal cost which will be excluded from the product cost. (3 + 2 + 2 + 2 = 9 marks) Answer: 80