NMIMS Cost & management accounting solved assignment December 2024

NMIMS Global Access
School for Continuing Education (NGA-SCE)
Course: Cost & Management Accounting
Internal Assignment December 2024 Examination
Assignment Marks: 30
Instructions:
 All Questions carry equal marks.
 All Questions are compulsory.
 All answers to be explained in not more than 1000 words for question 1 and 2 and for question 3 in not more than 500 words for each subsection. Use relevant examples, illustrations as far as possible.
 All answers to be written individually. Discussion and group work is not advisable.
 Students are free to refer to any books/reference material/website/internet for attempting their assignments, but are not allowed to copy the matter as it is from the source of reference.
 Students should write the assignment in their own words. Copying of assignments from other students is not allowed.
 Students should follow the following parameter for answering the assignment questions.
Q1. The following details have been extracted from Sam Ltd.’s books of accounts for the year ending March 31, 2023. The manager of the company is shared and divides his time between the factory and the office in the ratio of 20:80. You are required to compute: (a) prime cost, (b) factory overhead, (c) factory cost, (d) over head and (e) cost of sale. (10 Marks)
Stock of Materials: Opening
2,82,000.00
Stock of Materials: Closing
3,00,000.00
Materials Purchased during the year
12,48,000.00
Direct Wages
3,57,600.00
Indirect Wages
24,000.00
Salaries for Administrative Staff
60,000.00
Freights: Inwards
48,000.00
Freights: Outwards
30,000.00
Cash Discount Allowed
21,000.00
Bad Debts W/Off
28,200.00
Repairs to Plant and Machinery
63,600.00
Rent, Rates and Taxes of Factory
18,000.00
Rent, Rates and Taxes of Office
9,600.00
Travelling Expenses
18,600.00
Salesmen’s salaries and commission
50,400.00
Depreciation W/Off: Plant and Machinery
42,600.00
Depreciation W/Off: Furniture
3,600.00
Director’s fees
36,000.00
Electricity Charges: Factory
72,000.00
Fuel Charges: Boiler
96,000.00
General Charges
37,200.00
Manager’s Salary
72,000.00
Q2. You are required to compute the labor turnover using different methods of labor turnover measurement from the following information provided for Manas Ltd. for the month of December 2022.
Total workers in the beginning of the month were 3800, whereas at the end of the month were 4200. During the month, 50 workers left the firm on account of their own problems,

Q3. A product sells at Rs. 3 per unit. The company uses a first-in-out actual costing system. A new fixed manufacturing overhead allocation rate is computed each year by dividing the actual fixed manufacturing overhead cost by the actual production. The following data is available for the first two years:
Year 1
Year 2
Sales (Units)
1500
1800
Production (Units)
2100
1500
Cost:
(Rs.)
(Rs.)
Variable Manufacturing
1050
750
Fixed Manufacturing
1050
1050
Variable Marketing and Administration
1500
1800
Fixed Marketing and Administration
600
600
Prepare Income Statement for each year based on:

a. Absorption Costing (5 Marks)

b. Variable Costing (5 Marks)
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