Balance Sheet and Proforma Cost Sheet

Topics: Balance sheet, Inventory, Accounts receivable Pages: 2 (355 words) Published: December 20, 2012
6. A proforma cost sheet of a company provides the following particulars :
Elements of Cost
Material 40%
Direct Labour 20%
Overheads 20%
The following further particulars are available:
(a). It is proposed to maintain a level of activity of 2,00,000 units. (b).Selling price is Rs.12 per unit
(c) Raw materials are expected to remain in stores for an average period of one month
(d) Materials will be in process, on averages half a month.
(e) Finished goods are required to be in stock for an average period of one month.
(f) Credit allowed to debtors is two months.
(g) Credit allowed by suppliers is one month.
You may assume that sales and production follow a consistent pattern.
You are required to prepare a statement of working capital
requirements, a forecast Profit and loss account and Balance Sheet of the company assuming that
Share capital 15,00,000
8% Debentures 2,00,000
Fixed Assets 13,00,000
7. From the following particulars prepare cost sheet and show what the amount of the quotation would be if 20% on selling price.
Stock of finished goods at the beginning 70,000
Stock of raw materials at the beginning 30,000
Purchase and raw materials 7,50,000
Productive wages 5,20,000
Sales 15,50,000
Stock of finished goods at the end 80,000
Stock of raw materials at the end 30,000
Works overhead charge 1,30,000
Office overheads 70,000
The company is intending to send a quotation for a large plant. The estimated material cost is Rs.50,000, wages Rs.30,000.
8. Explain the following pertaining to receivable management : a) Credit granting policy, b)Credit analysis, c)Credit terms and d) Collection policy
9. List out different functional budgets. Discuss the preparation of any of the functional budgets with an example.
10. 5. At the end of the year the balances in various accounts of Mahaveer limited are as follows :
Classify the accounts into assets and liabilities. Prepare the balance sheet of Mahaveer Limited as per the format...
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