GUG/W/18/794 1 P.T.O
Bachelor of Business Administration (B.B.A.-II) Third Semester
BBA236 Cost Accounting
P. Pages 4 GUG/W/18/794
Time Three Hours Max. Marks 80

Notes 1. All question are compulsory.
2. All question carry equal marks.
1.

Explain the different element of Total cost?
8

From the following figures ascertain
Cost of material used
Value of output of manufactured goods and
Percentage of Gross profit on sales.
Trading Account
Particulars

Particulars

Finished goods
8,000
By sales
84,000
Raw materials
2,400
By stock
To Purchases
24,000
Finish goods 7,000
To Wages
40,000
Raw materials 2,800
9,800
To Carriage
2,000
To Gross profit
17,400
93,800
93,800
OR
8

Deepstambha Firm manufactured sold 100 refrigerators in the year 2017. Its Trading and Profit Loss Account is given below:-
Trading Profit Loss A/c
Particulars

Particulars

To Materials
80,000
By sales
4,00,000
To Direct Wages
1,20,000
To manufacturing Exp.
50,000
To Gross Profit c/d
1,50,000
4,00,000
4,00,000
To salaries
60,000
By Gross Profit b/d
1,50,000
To Rent
10,000
To General Exp.
20,000
To Selling Exp.
30,000
To Net profit
30,000
1,50,000
1,50,000
For the year 2018 it is estimated:-
The output and sales will be 80 Refrigerators.
Price of materials will be rise by 20%.
Wages rate will be rise by 10%
Manufacturing Exp. Will Increase in proportion to the combined cost of materials wages.
Selling cost per unit remain unchanged.
Other Exp. Will remain Unaffected by full in output.
Prepare statement of cost. Profit of selling price on 20% for the year 2018.
16
*0606*
GUG/W/18/794 2
2.

Profit Loss Account of Poonam Oil Mill Ltd. is as follows.
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Particulars

Particulars

To purchases 25210
By sales
75,000
Less closing stock 4080
21,130
By Discount
To Direct Wages
10,500
Received
260
To Works Exp.
12,130
By profit on sale of Land
2,340
To Administration Exp.
5,340
To Selling Exp.
7,100
To Depreciation
1,100
To Net profit
20,300
77,600
77,600
Prepare Reconciliation statement from the using Information below.
The Profit shows on cost Books `19,770
ii) Closing stock valued `4,280 in cost Account.
iii) The work Expenses in cost Account was `10,500
iv) Selling Expenses were charges in cost A/c `7,500 and Administration
Expenses `5,000.
Depreciation charged in cost A/c `800

M/s. Sonam Melodius Company, Nagpur Net profit shown by Financial Account.
amounted to `5,26,100. After comparing cost Financial Book's the following facts were noted.
Interest on Debentures only in financial A/c `1,000
Transfer fees Received in Financial Books only `2,000
Profit on sale of Assets only in financial A/c `3,000
Pension paid to Employees only financial A/c `400
Penalty paid not recorded in cost Book `1,000
Legal charges Not Recorded in cost Book `500
Establishment charges only Financial A/c `300
Cash Discount given only in Financial A/c `200
Rent Dividend Received only Financial A/c `11,500.
10) Interest on Investment only in financial A/c `5,400
11) Bank Interest in Financial A/c only `1,600
Prepare statement of Reconciliation showing the profit as per cost Books?
8
OR
GUG/W/18/794 3 P.T.O

Prepare a statement showing the profit per unit sold taking materials wages at actual cost. Work Exp. at 75% of wages and office Exp. 30% of Works Cost. Prepare Reconciliation statement. The profit shown by the cost A/c with the profit shown by profit loss A/c.
There was no stock of finished goods or W.I.P. either at the beginning or end of the period. Unit sold January 2017 was 270. Selling price per unit `600. The material cost per unit `240 and wages paid per unit `80.
Prepare also a statement showing the actual profit earned If actual works Exp. office Expenses. Were `16,080 and `30,900 Respectively.
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3.

M/s Praju Sisters chemicals Ltd. Produces sells a chemical product which passes through Two processes. Primary and Final. The Finished product of primary process is carried to final processes as Raw materials. The Information is given below.
8
Particulars
Primary Process
Final Process
Raw Materials
1000 kg `15 per kg.

Direct Wages
200 workers 25 `per head
300 workers @15 `per head.
Factory overhead
50% direct wages
50% Direct wages
Finish Goods
500 kg
350 kg.
By product
400 kg.
100 kg.
Selling price by product
`10
`25
Loss in weight
100 kg
50 kg.
Prepare process A/c showing per Ton total Cost.

In a factory the output passes through X and Y processes. In both processes of the total weight put in loss and 10% scrap which from processes X and Y `50 and `93 per ton respectively.
8
Particulars
Processes
X
Y
Materials used
Tons
9,000
1,000
Cost of materials per tons

30
60
Wages

20,000
10,000
Manufacturing Expenses

18,000
5,000
Prepare Process Accounts.
OR

Prepare the process A/c from the following figures, assuming that the production of each process is passed on the next process immediately on completion.
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Particulars
Processes
A
B
C
Materials
28,000
11,000
24,000
Wages
2,400
3,000
6.250
Works on cost
5,600
5,200
8,000
Production In units
36,000
37,500
48,000
Stock (1st July 2016)

4,000
16,500
Stock (31st July 2016)

1,000
5,500
GUG/W/18/794 4
4.

The following was the Expenditure on a contract A/c for `10,00,000 commenced on 1st April 2012.
Materials `2,00,000
Wages `1,75,000
Direct Expenses `1,25,000
The cash Received on 31st March 2013 amounted to Rs. 5,00,000 being 80% of work certified. The value of work Uncertified is `25,000
Prepare contract A/c and find out the profit to be credited to profit loss A/c.
8

A firm of Building contractor Undertook a contract. on 1st April 2017. His contract A/c shows a credit Balance of `90,000.
The contract price was 15,00,000 at the end of the year the work certified was `9,00,000 of which `6,75,000 had been Received in cash.
Your are required to find out the amount of Balance transferred to profit loss A/c and Reserve (Balance
8
OR

From the following details prepare contract A/c Showing the profit on the contract on 31st December 2017.
Particulars

Materials sent to site
2,78,000
Labour Engaged on site
2,19,200
Plant at site
44,000
Work certified
5,72,000
Cash Received from Contractee
5,20,000
Plant value on 31st Dec. 2017
32,800
Direct Expenses
5,888
Establishment Expenses
13,000
Out standing wages on 31st Dec. 2017
7,200
Materials on hand on 31st Dec. 2017.
5,600
Outstanding direct Exp on. 31st Dec. 2017
800
Materials Return to store
1,600
Uncertified work
13,600
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5.
Write short note on the following

Write a note on the scope of cost Accounting?
4

State the reason for difference between profit shown by Financial cost Account?
4

State the difference between Normal Loss and Abnormal Loss?
4

What do you mean by certified and Uncertified work?
4