Question: If 1,000 units are input into a process at a cost of $1,800 and normal loss is 10% of input. What is the average cost

If 1,000 units are input into a process at a cost of $1,800 and normal loss 

is 10% of input. What is the average cost per unit? ( 2 Marks)

4.

The following data relates to Process 1.

Materials input

- 1,000 units costing Kshs10,000

Labour costs

- Kshs 8,000

Departmental overheads - Ksh 6,000

Normal loss is 4% of input and is sold as scrap for Ksh 12 per unit.

Required:

Calculate the average cost per unit in Process 1 and complete the process

account and the scrap account. ( 8 Marks)

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