SEMESTER FALL 2013
COST AND MANAGEMENT ACCOUNTING (MGT402) ASSIGNMENT NO. 02 (NON GRADED)
DUE DATE: 24 JANUARY, 2014 MARKS: 20
This assignment is aimed to enable the students to develop fundamental information for presenting in a cost of production report while learning the treatment of normal losses and FIFO costing method of work in process inventory.
S&N Corporation manufactures men’s garments which pass through two departments. Company uses process costing system and work-in-process inventories are treated at first-in, first-out basis. For the month of December 2013, the company’s cost accountant is planning to prepare a cost of production report for the 1st department.
Production and cost data for the 1st department during the month of December, 2013 is as follows:
Production Data (Units):
Units in process - 1st December, 2013 (50% complete as to material and 25 % as to conversion cost)
Units started during December, 2013
Units completed and transferred out
Units lost during processing (normal loss)
Units in process - 31st December, 2013 (75% as to material and 50% as to conversion cost)
Production costs data (Rupees):
Cost incurred on opening work in process inventory:
Cost incurred during December 2013:
Total cost to be accounted for
Required: Prepare following for the month of December 2013 under FIFO costing method.
a) Quantity Schedule (5 Marks)
b) Schedule of cost accumulated in the department (5 Marks)
c) Schedule of total cost accounted for/cost apportionment (5 Marks)
d) Schedule of equivalent production (2.5 Marks)
e) Calculation of cost per unit (2.5 Marks)
24 hours extra / grace period after the due date are usually available to overcome uploading
difficulties. This extra time should only be used to meet the emergencies and above mentioned
due dates should always be treated as final to avoid any inconvenience.
OTHER IMPORTANT INSTRUCTIONS:
Make sure to upload the solution file before the due date on VULMS.
Any submission made via email after the due date will not be accepted.
Use the font style “Times New Roman” or “Arial” and font size “12”.
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You may also compose your assignment in Open Office format.
Use black and blue font colors only.
Use APA style for referencing and citation. For guidance search “APA reference
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RULES FOR MARKING
Please note that your assignment will not be graded or graded as Zero (0), if:
It is submitted after the due date.
The file you uploaded does not open or is corrupt.
It is in any format other than MS-Word or Open Office; e.g. PowerPoint, PDF etc.
It is cheated or copied from other students, internet, books, journals etc.
Please also note that assignment in this course is non-graded and don’t have
weightage in total marks of the subject.
Note related to load shedding: Please be proactive
As you know that Post Mid-Term semester activities have been started and load shedding
problem is also prevailing in our country now a days. Keeping in view the fact, you all are
advised to post your activities as early as possible without waiting for the due date. For your
convenience; activity schedule has already been uploaded on VULMS for the current semester, therefore no excuse will be entertained after due date of assignments, quizzes or GDBs.