Archive about 'Manufacturing Accounts'
Tweet Very often in a manufacturing concern, there are goods which are in partly manufactured state at the end of the accounting period. Such goods which are known as work-in-progress are usually valued according to the amount of materials, labour and expenses which have so far been incurred. To find or compute the cost of […]
Tweet Append below a brief revision note on manufacturing account Key areas to note on the topic of Manufacturing Account: 1.0 Manufacturing accounts are prepared for internal management purpose only. This report helps management to distinguish between the costs and profitability associated with the manufacturing operations and those associated with trading ( shown in the […]
Tweet Click to the respective topic on Manufacturing Account Content Page On MANUFACTURING ACCOUNT 1.0 Understand Prime Costs in Manufacturing Account 2.0 Understand Factory Overheads and Treatment of Work In Progress 3.0 QUESTION: Accounting Test Question No Mfg 1 Answer to Accounting Test Question No Mfg 1
Tweet Approach this question by : (a) understanding the normal format of a manufacturing and trading account. (b) do the expense adjustments by taking into consideration accruals and prepayments and allocating expenses solely due to manufacturing operations and then insert the final figures into (a) Answer to Accounting Test Question No.Mfg.1 Jim Brothers Manufacturing Account […]
Tweet Below is an accounting test question on the preparation of a Manufacturing and trading account:- Question: Jim Brothers, a manufacturing company, produces the following balances from its books at 30 th September Year 7 $ Stocks at 1 October Year 6: Raw materials 7,450 Work-in-progress(factory cost) 5,330 Finished goods(transfer value) 12,110 Purchases of raw […]
Tweet In the earlier article, much attention has been drawn on Prime Costs. This article deals with what are factory overheads, how to treat Work-in-Progress in the Manufacturing Account and finally showed a simple format of the Manufacturing and Trading Account of a manufacturing that buy goods from suppliers for resale and […]
Tweet An enterprise can buy goods from others for resale and or it can manufacture its own goods for resale. When the enterprise manufactures its own goods, it keeps such records that will disclose his TOTAL COST OF MANUFACTURE/PRODUCTION. At the end of an accounting period, a Manufacturing Account is drawn up to ascertain […]