#Q.1) A certain chemical process yields 75% of material introduced as main product and 20% as by-product, 5% being lost.
In the process one unit of main product requires double the materials required for a unit of by-product.
Further one unit of main product needs 1½ times the time needed for one unit of by-product.
Overheads are absorbed in the ratio 3 : 1.
During a month 4,000 units of raw materials at a cost of Rs. 68,000 were introduced.
Wages and overheads Rs. 21,200 and Rs. 10,800 respectively and wastage realised Rs. 1,200.
Ascertain the cost of both the products and prepare Process incurred were Account.- 30 Marks
#Q.2)The standard mix for each batch of 100 units of product A is :
Material A – 6 kgs. @ Rs. 15
Material B – 4 kgs. @ Rs. 10
During a month 10 batches were completed with actual consumption as follows:
Material A- 63 kgs. @ Rs. 14
Material B- 39 kgs. @ Rs. 11
Actual output during the month was 960 units.
Calculate Material Cost Variances for detailed analysis and control.- 30 Marks.
#Q.3)(i) Explain how GST is an improvement over the old sales tax structure.– 15 Marks.
(ii)What do you mean by ‘taxable services’ in the context of GST ? How is the value of taxable services determined ?– 15 Marks.