00:01
To prepare the cost sheet showing the total cost per turn for the year ended 31st march 2019, we need to categorize the given expenses as factory cost, prime cost, factory cost and selling and administration overheads and then calculate the total cost by adding all of these above a, b and c and then divide the total output 10000 tons to get the cost per turn.
01:02
So therefore the prime cost is raw material 33000, productive wages 35000 and direct expenses 3000 which will give us 71000 dollars as the prime cost and the factory cost is factory lighting 2200, factory heating 1500, factory insurance 1100, motive power 4400, haulage 3000, factory cleaning 500, factory rent 800, factory stationary 750, water supply 1200, rent of warehouse 300 and depreciation of plant and machinery 2000 which will give us total as 17750 dollars as the factory.
02:15
Now to calculate the selling and administration overheads which is director's fees 2000, office expenses 200, unproductive wages 10500, taxes 7500, office stationary 900, office insurance 500, legal expenses 400, maintenance of delivery van 700, depreciation of office building 1000, bank charges 50, depreciation delivery vans 200, commission on sales 1500, bad debts 100, loose tools written off 600, advertising 300, rent and taxes 500, sale department salary 1500 which will give us total as 28450 dollars and that will be our cost a, cost b and cost c...