Opening stock of raw material 11,570
Closing stock of raw material 10,380
Purchase of raw material during the month 1,28,450
Total manufacturing cost charged to product 3,39,165
Factory overheads are applied at the rate of 45% of direct labour cost.
The amount of factory overheads applied to production is
A. 65,025
B. 94,287
C. 95,020
D. 1,52,624
- Accounting Mcqs
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Accounting Mcqs for Preparation of various Test announced by Fpsc, kppsc, Nts, ppsc. accounting mcqs for accountant. These Mcqs are very helpful for the Preparation of various posts of Senior Auditor, Junior Auditor, Accountant and for Cost Accountant.
Principles of Accounting, Accounting Equation, Analyzing & Classifying Transaction, Journal, Ledger, Banking Transactions, Cash book and Bank Reconciliation Statement, Bill of Exchange, Capital & Revenue, Rectification of Errors, Final Accounts, Adjustments.
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Cost of Raw Material = Opening inventory-ending inventory
11,570-10,380= 1,190
Total Raw Materials Cost= 1,190+128,450= 129,640
Manufacturing Cost (consists only direct labor & FOH only as material cost is separately given)= 339,165-129,640
209,525
As this amount is 145% because it includes 45% FOH an the other portion is Direct Labor so, = 209,525/145*45
65,025