Extracted text: Calculate prime cost, factory Cost, Cost of Production, Cost of sales and profit from the following particulars. 16. Office stationary 17. Telephone charges 16. Postages and Telegrams 17. Saleman's salaries 18. Travelling expenses 19. Advertising 20. Warehouse charges 500 1. Direct materials 2. Direct wages 1,00,000 30,000 2,500 125 250 3. Wages of foreman 4. Electric power 5. Lighting: Factory 500 1,250 1,500 500 Office 500 1,250 500 6. Strorekeeper's Wages 7. Oil and water 8. Rent: Factory 1,000 500 21. Sales 1,89,500 22. Carriage outward 375 5,000 2,500 Office 23. Income Tax 10,000 24. Dividend 2,000 9. Repairs & Renewals: Factory plant 3,500 Office Premises 500 10. Transfer to reserves 1,000 500 11. discount on shares Written Off 12.Depreciation: Factory plant Premises 500 1, 250 13. Consumable stores 2,500 14. Manager's salary 5,000 15. Director's fees 1,250
Extracted text: Problem A company has a normal capacity of 120 machines, working 8 hrs per day of 25 days in a month. The fixed overheads are budget @1,44,000 per month. The standard time required to manufacture one unit of product is 4 hrs. The company worked 24 days of 840 machine hrs per day produced 5,305 units of output. The actual fixed overheads were 1,42,000. Compute : Efficiency variance, (ii) Capacity variance, (iii) Calender variance, (iv) Expenses variance,(v) Volume variance,(vi) Total fixed overhead variance