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There is a difference of â?¹0.08 in cost per unit calculation between cost of production and cost of goods sold How is the calculation made here I am enclosing the question and solution of ICAI
Answers (3)
CA Suraj Lakhotia Admin
Because of opening stock which is at 96 per unit.
Yes...but with what value should i divide..how is the calculation done
Thread Starter
sai krishna tejaYes...but with what value should i divide..how is the calculation done
While arriving at cost of goods sold you have to take total of opening stock and current cost and reduce the value of closing stock. This will be divided by number of units sold.