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Over absorbed Factory Overhead treatment

Costing

answered on 26-Sep-21 09:11

If it's large in Amount and reason Is Abnormal Then What is the Treatment of Over absorbed Factory Overhead ?

latest answer

There are 3 alternative treatments of Under/Over absorbed . Kindly refer below attachment

Chandan Subudhi

Chandan Subudhi

CA Final

12K+

5

725

Factory Overhead in Accounting vs Costing

Costing

answered on 27-Sep-21 10:12

Factory Overhead treatment in Accounting for Valuation of Inventory (AS 2 ) And Factory Overhead treatment in Costing ? The key difference in treatment ?

latest answer

Factory overhead is the costs incurred during the manufacturing process, not including the costs of direct labor and direct materials. Factory overhead is normally aggregated into cost pools and allocated to units produced during the period under costing factory OH are added to prime cost in cost sheet to arrive at Factory Cost. As per AS 2 under accounting - The costs of conversion of inventories include costs directly related to the units of production, such as direct labour, direct material and direct expenses. They also include a systematic allocation of fixed factory OH (based on normal capacity) and variable production / factory overheads (based on actual use of facility) that are incurred in converting materials into finished goods.

Chandan Subudhi

Chandan Subudhi

CA Final

12K+

1

733

Loss of profit

Accountancy

answered on 27-Sep-21 10:14

How to interpret with increase of cost dur to increase of sales

latest answer

Could you clarify your query.

Krishna kumar

Krishna kumar

CA Final

9K+

1

466

CA Inter Amendments

Others

answered on 26-Sep-21 09:55

In which papers do we have the amendments?

latest answer

Thank you sir

lithish kumar

lithish kumar

CA Final

3K+

2

532

Blocked credit

Direct Taxation

answered on 28-Sep-21 10:36

Whether ITC available for the purchase of JCB for the business? (Basic understanding JCB won't come under the definition of motor vehicle)...pls clarify

latest answer

Hi. Law has specified that ITC related to motor vehicle for transportation of passengers cannot be claimed. Effectively it means that ITC related to other vehicles can be claimed.

george joseph

george joseph

CA Final

5K+

3

706

ROM ( Read Only Memory )

Information Systems

answered on 27-Sep-21 08:00

I have seen that ROM for iphone 12 pro max is 512 GB but in videos it is taught like it has small memory of 8-10 mb. If it is that small, how can translators be stored in it. Example in my mobile I don't use any secondary memory then how come translators located?

latest answer

It's a wrong product description. 512 GB is not ROM but secondary storage. If it were to be ROM then you can not add any data to your phone because it is Read Only Memory.

Sai Eswar Kolli

Sai Eswar Kolli

CA Final

30K+

1

568

RTP Nov'21

Auditing

answered on 26-Sep-21 08:23

Just to inform that answer of Q5 (case scenario 2) is wrongly given by ICAI in the RTP as B but it should be A. So don't be confused :)

latest answer

OK thanks I will be useful for all

Himanshu Somani

Himanshu Somani

CA Final

97K+

1

587

Bck

Economics

answered on 25-Sep-21 22:41

What is Blue chips with ur layman's example pls mam/Sir /my friends â??â??â??

latest answer

Thanks bro ð???

Balachandar S

Balachandar S

CA Inter

59K+

3

532

Study planner

Others

answered on 26-Sep-21 08:48

Why you are not upload law study planner? We select whole law subject but study planner made for only bcr subject

latest answer

Once Law videos are fully updated on website by Oct 10th - law planner will work

Rakesh Shah

Rakesh Shah

CA Final

5K+

1

538

Diubt

Financial Management

answered on 26-Sep-21 09:17

Dividend at year zero (D0) means last year dividend and current year dividend am I right?

latest answer

Thank you sir

Miradevi S

Miradevi S

CA Final

16K+

4

580