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Allocation of fixed factory overheads differently after including them in the cost of inventory

Financial Reporting

answered on 06-Nov-25 11:02

Sir,while computing the cost of inventory per unit, we already allocated the fixed overheads of Rs.10000000 to the inventory. Then why did we treated them separately in the next half of the question? why did we expensed the remaining overheads of Rs. 5000000 to P&L A/c ? [Video Time Stamp: 04:41]

latest answer

We did not absorb full 100 lakhs to inventory. Only 50 lakhs is allocated since the actual production is 50,000. The part which is not allocated (under absorbtion as per costing principles) is charged to P&L

Siddhi Agrawal

Siddhi Agrawal

CA Final

490

1

138

other expenses

Auditing

answered on 09-Nov-25 16:39

rent should be recorded on SLM what is meant by that whether increase or decrease in rent amt ? [Video Time Stamp: 05:54]

latest answer

When we say rent should be recorded on a Straight Line Method (SLM) basis, it means: The total rent expense over the lease period should be evenly spread (amortized) over the entire lease term, irrespective of actual payment pattern. So — it doesn’t mean that rent will increase or decrease each year. It simply means that even if the actual payment changes (e.g., due to escalation clauses), the accounting charge (expense recognized) should be straight-lined — i.e., recorded evenly.

21SCO08 mahalakshmi

21SCO08 mahalakshmi

CA Inter

1K+

1

140

Blood relation

Maths & Stats

answered on 05-Nov-25 15:46

Sir as per the question Gopal and Ganga has 3 children and Rekha and ram are the favourite 2children of Ganga so out of 3children 2are ran and Rekha so can’t we assume that the 3rd child is Mithun because Ganga has 3children And as question it is asked that what is relation between Mohan and Mithun so we considered that Mithun is Gopal and Ganga son and Mohan and Gopal are brother it is assumed that Mohan is uncle of Mithun But as per options sir selected no relation But I think the option correct option is uncle [Video Time Stamp: 03:43]

latest answer

ICAI also does not think answer is c page s 12.10 and 12.11 https://resource.cdn.icai.org/81987bos66111-cp12.pdf

Rudransh Aheer

Rudransh Aheer

CA Foundation

3K+

4

152

Accounting entry for additional discount

Financial Reporting

answered on 06-Nov-25 11:04

From given example at lecture, Why can't the accounting entry be - Dr. Bank A/c - 9000 Cr. Revenue - 8000 Cr. Contract liability -1000 (Considering the addl. discount is Rs.1000) [Video Time Stamp: 08:34]

latest answer

There are two obligations here 1. Sale of FR 2. PRovision of discount. And we allocate the amount collected between these two.

Immanuel Babu

Immanuel Babu

CA Final

5

1

132

occurance

Auditing

answered on 09-Nov-25 16:41

what are the specific consideration to be taken for delivery of F.O.B., C.I.F.

latest answer

FOB: Ownership transfers on shipment - Buyer records purchase even if goods not received. CIF: Ownership transfers on delivery -Buyer records purchase only on arrival. Auditor checks Bill of Lading, cut-off, insurance, and freight documents accordingly.

21SCO08 mahalakshmi

21SCO08 mahalakshmi

CA Inter

1K+

1

107

SPOM Module SET C and D

Exams

answered on 04-Nov-25 22:48

Hi, I cleared CA Intermediate in the Nov'23 attempt and have joined articleship under the 2-year scheme. whether SPOM Set C and D are applicable to me.

latest answer

No

Jitendra Kumar

Jitendra Kumar

CA Final

41K+

1

157

Persuasive VS Pervasive

Auditing

answered on 10-Nov-25 08:11

mam, i have been coming across both of these terms, which i searched online for their meanings. Persuasive is something making belive and Pervasive means wide spread of something. In the video lecture you have used both the terminologies, can i request clarification with respect to both the terms in the context. like which term be used where? [Video Time Stamp: 00:46]

latest answer

understood , thank you mam

Vinod Kumar

Vinod Kumar

CA Inter

11K+

2

266

Cost of Capital

AFM

answered on 04-Nov-25 18:17

Sir even though calculating Ke by 1/PE Ratio is rationally wrong. Cant we do it in this problem 1/7.5 =13.3%? [Video Time Stamp: 03:06]

latest answer

Very true sir😂. Sure sir Understood

Shreyas Nayak

Shreyas Nayak

CA Final

0

2

114

Capital Gearing Ratio

AFM

answered on 04-Nov-25 13:39

Sir, here in this formula, shouldn't we consider the reserves amount to be 32 Lakhs plus the 6.21 lakhs (as computed in the previous working note). Because retained earnings is also a part of the reserves right. Moreover if is this is considered the Numerator would be 104 Lakhs and Denominator would be 118.21 Lakhs (80+32+6.21). Then the CGR would be 0.879. Is this analogy correct or wrong? [Video Time Stamp: 14:12]

latest answer

Understood sir. Thank you.

Shreyas Nayak

Shreyas Nayak

CA Final

0

4

156

Certificate

Others

answered on 08-Jan-26 13:30

Do we get any certificate for tally and excel sir?

latest answer

Project is inside the course. Once you complete the course, let me know as a reply to this forum

Viveka R

Viveka R

CA Inter

3K+

8

159