Chapter 2: Cost sheet

Illustrative Cost Sheet

(Detailed)

Units produced……………..
Particulars Total cost (Rs.) Cost p.u.
Opening stock of raw materials ………. …..
Add: Purchase ……… …
Add: Carriage inward ……… …...
Add: Octroi and customs duty ………… …….
Less: Closing stock of Raw materials ………… …….
Direct Materials Used / consumed: ………… …….
Add: Direct wages / labor ……… …..
Add Direct labor ……… ……
Prime cost: xxxxxx Xxxxx
Add: Factory overheads / works overheads:
Indirect materials …… ………
Indirect wages ….
Leave wages ….
Overtime premium …. ….
Fuel and power …. …
Rent and taxes …. …….
Insurances ……
Factory lighting …….. …….
Supervision ……. ……..
Works stationery
Canteen and welfare expense
Repairs
Haulage
work salaries
Depreciation of plant and machinery
Work expenses
Gas and water
drawing office salaries
Technical director’s fees
Laboratory expenses
Factory telephone expense
Internal transport expense
Less: Sale of scrap
Add: Opening stock of W.I.P.
Less: Closing stock of W.I.P
Works / Factory Cost: xxxxxxx xxxxx
Add: Office and Administrative overheads:
Office salaries ……….. ……….
Director’s fees …….. ……….
Office rent and rates ……. ……..
Office stationery and printing ……. …….

Prof. Mayur Shah lecture notes

Chapter 2: Cost sheet

Sundry office expenses …….. ……..

Depreciation of office furniture ……… ……..
Subscription to trade journals …….. ……..
Office lighting ……..
Establishment charges …….
Director’s traveling expenses
Postage
Legal charges
Audit fees
Depreciation & repair of office equipment
Cost of Production: xxxxxxxx xxxxx
Add: Opening stock of finished goods ….. …
Less: Closing stock of finished goods …. ….
Cost of goods sold: xxxxxxxx xxxxx
Add: Selling and Distribution overheads:
Advertising ……. ….
Showroom expenses …. …
Bad debts …….. ……
Salesman’s salaries and expenses …….. …….
Packing expenses ……… ……
Carriage outward
Commission of sales agents
Counting house salaries
Cost of catalogues
Delivery Van expenses
Collection charges
Traveling expenses
Cost of tenders
Warehouse expenses
Cost of mailing literature
Sales manager’s salaries
Sales director’s fees ….. ……
Sales office expenses
Depreciation and repairs of delivery vans
Expenses of Sales Branches … …
Cost of sales (total cost): xxxxxxxx xxxxxx
Profit (balancing figure):
Sales: xxxxxxxx xxxxxx

Prof. Mayur Shah lecture notes