Question

The company has a Opening stock of Raw Material Rs. 70000 and Purchases 1 Raw Material Rs. 780000 and Expense paid for purchase amounted to Rs. 30000 closing stock of Raw Material Rs. 100000 Sale of Raw material scrap Rs. 8000 Purchase Return Rs. 2000. Find out cost of raw material consumed from above data. ​

Answer 1

Answer:

Explanation:

Raw materials consumed = Opening stock of raw materials + Purchase of raw materials - Closing stock

Opening stock of Raw materials = 70,000

Purchase of Raw materials = 7,78,000 [ 7,80,000 - 2,000 ]

Closing stock of raw materials = 1,00,000

Raw materials consumed = 70,000 + 7,78,000 - 1,00,000

Raw materials consumed = 7,48,000

Answer 2

GIVEN :  Opening Stock of raw material = 70,000 ; Purchases of raw material = 7,80,000 ; Expenses paid for purchase amounted = 30,000 ;  Closing Stock of raw material = 1,00,000 ; Sale of Raw Material Scap = 8,000 ;  Purchases Return = 2,000

TO FIND :  Raw material consumed

SOLUTION :

Raw Material Consumed = Opening Stock + Purchases - Closing Stock

                                         =  70,0000 + ( 7,80,000 - 2,000)  - 1,00,000

                                          =  70,000 + 7,78,000 - 1,00,000

                                           =  8,48,000 - 1,00,000

                                            = 7,48,000

Raw Material Consumed is 7,48,000 .