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In case of new company, for estimating the value raw material is already for work in progress calculations, then why is the raw material consumption for work in progress plzz again. Partical problem question 1

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Swathi Krishna

Swathi Krishna

CA Inter

7K+

29-Jul-20

74

Answers (9)

Please elaborate your query


Madhuri Veluri

Madhuri Veluri

CA Inter

2K+

30-Jul-20

Why is the raw material consumption that is for work in progress added here ?


Thread Starter

Swathi Krishna

Swathi Krishna

CA Inter

7K+

30-Jul-20

Your doubt is as to why we considered the raw material consumption in the table calculation of stock of finished goods and cost of sales. Is that so?


Madhuri Veluri

Madhuri Veluri

CA Inter

2K+

31-Jul-20

It should be 84,000 instead of 96,600. It is a mistake in the material.


Madhuri Veluri

Madhuri Veluri

CA Inter

2K+

31-Jul-20

Madhuri Veluri

It should be 84,000 instead of 96,600. It is a mistake in the material.

But sir (in the video class) told it is included but I can't understand the logic behind the addition of such value


Thread Starter

Swathi Krishna

Swathi Krishna

CA Inter

7K+

31-Jul-20

Pizza reply


Thread Starter

Swathi Krishna

Swathi Krishna

CA Inter

7K+

01-Aug-20

Sry I meant plzz reply


Thread Starter

Swathi Krishna

Swathi Krishna

CA Inter

7K+

02-Aug-20

Thread Starter

Swathi Krishna

Sry I meant plzz reply

The question mentions that Raw material equal to 2 months consumption would be kept in stock. Consumption of rawmaterial is for - Finished Goods & WIP. Hence both are taken.


Suraj Lakhotia

Suraj Lakhotia

Admin

04-Aug-20

Thank you sir


Thread Starter

Swathi Krishna

Swathi Krishna

CA Inter

7K+

04-Aug-20

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