Page 292 - DCOM202_COST_ACCOUNTING_I

Cost Accounting – I

Notes closing work-in-progress and thus the closing work-in-progress appears cost of opening
work-in-progress. The completed units are at their current cost.
(1) Format of statement of Equivalent production :
Input Output Equivalent Production
Particulars Units Particulars Units Material Labour Overheads
% Units % Units % Units
Opening Stock xx Units xx xx xx xx xx
completed
Units Introduced xx Normal Loss xx -- -- -- --
Abnormal Loss xx xx xx xx xx
xx Equivalent xx xx xx xx xx xx Xx
Units
(2) Statement of cost per Equivalent Units :
Element of costing Cost Equivalent Units Cost per
(`) Equivalent
Units (`)
Material Cost (Net) Xx Xx Xx
Labour Cost Xx Xx Xx
Overheads Cost Xx xx Xx
xx Xx

(3) Statement of Evaluation
Particulars Element of cost Equivalent Cost per Cost Total
Units equivalent units (`) Cost
(`) (`)
Units completed Material xx xx Xx
Labour xx xx xx
Overheads xx xx xx Xx
Closing WIp Material xx xx xx
Labour xx xx xx
Overheads xx xx xx Xx
Abnormal Loss Material xx xx xx
Labour xx xx xx
Overheads xx xx xx Xx
Illustration: The following information is given in respect of process costing 10 : 3 for the month
of January 2009.
Opening stock – 2,000 units made up of
`

Direct Material – I 12,350
Direct Material – II 13,200
Direct Labour 17,500
Overheads 11,000

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