Question

From the following particulars of Vidarbha Manufacturing Co. Ltd., you are required to prepare a statement of cost for the year ended 31 March, 2016 showing: (1) Prime cost (1) Works cost () Total cost of production (iv) Percentage of factory overheads to productive wages (v) Percentage of office overheads to works cost. Rs. Stock of Raw Materials (on 31-3-2015) 7,500 Materials purchased 1,87,500 Productive wages 1,50,000 Sales 4,64,255 Stock of Raw Materials (on 31-3-2016) 8,000 Factory Overheads 30,000 Office Overheads 36,700 Company wants to submit a tender for a large machine which will consume materials of Rs. 96,000 and wages Rs. 80,000. The tender price is to be made at a profit of 20% on selling price. Calculate the tender price, if the percentage of factory overheads to productive wages and percentage of office overheads to works cost remain the same as in the previous year. ​

Answer 1

Answer:

1000000 cost with profit so