Old mathjax Webview within 5 minutes or else skip please 24 (iv) the cost of sales ; and (v) the profit or loss. 25,000 30,000 6,000 36,000 1,44,000 2,00,000 10,000 From the following particulars relating to the production and sales for the year ended 31st December, 2011, prepare a cost statement showing therein: (1) the prime cost; (ii) the works cost; (111) the cost of production; i Stock as on 1.1.11 : Rs. (a) Raw materials (b) Work-in-progress : At prime cost Add : Manufacturing expenses (c) Finished goods (at cost) Raw materials purchased Freight on raw materials 3 Machine hour rate Machine hours worked (48,000 hours) Chargeable expenses 50,000 Factory wages for direct labour 2,70,000 Administration expenses 1,00,000 Selling expenses 54,000 Distribution expenses 36,000 Sale proceeds of finished goods (30,000 units) 9,00,000 Stock as on 31st December, 2011 : (a) Raw materials 45,000 (b) Work-in-progress : At prime cost 45,000 Add : Manufacturing expenses 9,000 54,000 (c) Finished goods at cost (10,000 units) ? Finished goods produced 32,000 units Apply LIFO principle in finished goods valuation