Cost and Management Accounting - May Rtp 2025 RTP

Mr. Linde is a German national, who came to India again on 1st April, 2024. He represents his company and wants to start business in India as well. His company expertise in the manufacturing of Industrial machines. Recently launched “Make in India” movement has motivated Mr. Linde thinks that this might be the perfect opportunity for his company to establish his company in India. Last, Mr. Linde came to India on 1st April, 2012. He purchased a land for `…

The HomeMart is the latest trending brand offering home improvement appliances with broadest selection of products with highly competitive prices. The sale is increasing year by year with huge multiples. Current year also the sales reached triple the last year. The reason being company having good customer support where it provides after sales assistance over phone per item sold. Though it costs only Re. 1 per item sold to the company, it enhanced to ` 49,15,200 last year making a…

Mr. A works in a manufacturing company where he is paid bonus according to the Halsey 50% plan, besides the normal wages. The relevant data is as below: Time Rate (per hour) ` 100 Time allowed 10 hours Time taken 5 hours Time saved 5 hours Mr. A believes that his bonus under Halsey system is getting reduced by 50%, thus intending to shift towards Rowan Premium Plan. 7 MAY 2025 EXAMINATION REVISION TEST PAPER INTERMEDIATE EXAMINATION You are required…

Material (Direct) is issued to production? (a) Store Ledger Control A/c Dr. To Work-in-Process Control A/c (b) Store Ledger Control A/c Dr. To Production Overhead Control A/c (c) Production Overhead Control A/c Dr. To Store Ledger Control A/c (d) Work-in-Process Control A/c To Store Ledger Control A/c 8 Dr. MAY 2025 EXAMINATION REVISION TEST PAPER COST AND MANAGEMENT ACCOUNTING Process & Operation Costing

A product passes through two processes. The output of Process-I is treated as the raw material of Process-II. The cost incurred at Process- II is as follows: Particulars Transferred from Process-I A/c Materials issued Labour Process-II (`) 27,85,700 10,00,000 2,00,000 Manufacturing overhead 5,00,000 The output of each process is as under: Process Process-I Output 48,750 units Normal Loss Process-II 47,000 units 5% 2% No stock of materials or of work-in-process was left at the end. You are required to CALCULATE…

Sterling Industries manages various manufacturing processes. In process I, joint products P1 and P2 are produced in the ratio of 6:4 in units from the raw material input. A normal loss of 2% of the raw material input is expected in this process, with losses having a realizable value of ` 12.5 per kg. The company has no work in progress. The joint costs are apportioned between the joint products using the physical measure basis. 9 MAY 2025 EXAMINATION REVISION…

PR Ltd. sells two types of pen, ball pen and gel pen. Currently, the company is expecting to sell 6,000 units of ball pen along with 3,600 units of gel pen in the coming month. Other information as forecasted is provided below: Particulars Selling price (per unit) Variable cost (per unit) Contribution (per unit) Fixed Costs 10 Ball pen Gel pen ` 90 ` 60 ` 150 ` 60 ` 100 ` 40 ` 3,36,000 MAY 2025 EXAMINATION REVISION TEST…

Catalist Ltd. is a distributor of industrial chemicals, providing the chemical in drum packaging. Each drum of the chemical costs ` 200 from a supplier and the company sells it for ` 240. Annual demand is estimated to be for 2,50,000 drums. The cost of delivery is estimated at ` 100 per order and the annual variable holding cost per drum at ` 180 plus 10% of purchase cost. Based on above data, the managing director calculates the economic order…