Question 1 - From the following information, calculate each of three labour variances for each department.
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Dept A
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Dept B
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Gross Wages direct (Rs)
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17,025
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26,754
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Standard hours produced
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4,600
|
6,300
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|
Standard rate per hour (Rs)
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4
|
4.50
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Actual hours worked
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4,540
|
6,370
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Question 2 - X Ltd. produces and sells direct to consumers 10,000 units per month at Rs. 1.25 per unit. The company's normal production capacity is 20,000 units per month. An analysis of cost for 10,000 units show.
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Rs.
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Direct material
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1,000
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Direct labour
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2,475
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Power
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140
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Misc. supplies
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430
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Bottles
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600
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Fixed expenses
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7,955
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Total
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12,600
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The company has received an offer for the export under a different brand name of 1,20,000 units at 10,000 units per month at 75 paise a unit.
Write a short report on the advisability of otherwise of accepting the offer.
Question 3 - From the following particulars make out a balance sheet.
(a) Current ratio 2.5
(b) Liquid ratio 1.5
(c) Proprietary ratio 0.75
(d) Working capital Rs. 60,000
(e) Reserves and surplus Rs. 40,000
(f) Bank overdraft Rs. 10,000
There is no long term loans or fictitious assets.
Question 4 - Find two years sales and profit were as under:
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I Year
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II Year
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Rs
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Rs
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Sales
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4,00,000
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5,00,000
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|
Profit
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1,00,000
|
1,40,000
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Find:
(a) BEP
(b) Sales for a profit of Rs. 2,00,000
(c) Profit when sales are Rs. 6,00,000
(d) Margin of safety when profit is Rs. 50,000