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From the Following Particulars Pass the Journal Entries in an Integral Accounting System: - Cost Accounting(Financial Accounting and Auditing 10)

From the following Particulars pass the Journal Entries in an integral accounting system:
(a) Issued materials Rs. 3,00,000 of which Rs. 2, 80,000 (Standard Rs. 2,40,000) is direct material.
(b) Net wages paid Rs. 70,000 deductions being Rs. 12,000 (Standard Rs. 750,00).
(c) Gross salaries payable for the period is Rs. 26,000 (Standard Rs. 25,000). Deduction Rs. 2,000.
(d) Sales (Credit) Rs. 8,00,000.
(e) Discount allowed Rs. 5,000.
(f) Salaries and Wages allocation: Rs. 60,000 direct (Standard Rs. 62,000) and out Of the balance, 50% production, 30% admn. and 20% selling and distribution overheads.

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Cost Journal


  Particulars Debit(Rs.) Credit(Rs.)
(a) Work-in-progress Control A/c. Dr. 2,40,000  
Material Prlce Variance A/c. Dr. 40,000  
Production Overhead Control A/c. Dr. 20,000  
To Stores Ledger Control Alc.   3,00,000
(Being the issue of materials and debit to WIP A/c at Standard Material Cost of Rs. 2,40,000)    
(b) Wages Control A/c. Dr. 7,5,000  
Wages Variance A/c.  Dr. 7,000  
To Deduction A/c.   12,000
To Cash A/c.   70,000
(Being the net wages paid Rs. 70,000 and Gross Wages Rs. 82,000 out of which debit to wages control A/c at Standard Wages of Rs. 75,000)    
(c) Salaries Control A/c. Dr. 25,000  
Salaries Variance A/c. Dr. 1,000  
To Deduction A/c.   2,000
To cash A/c.   24,000
(Being the accounting of Gross Salaries of Rs. 26,000 Standard Rs. 25,000)    
(d) Debtors Control A/c. 8,00,000  
To Sales A/c.   8,00,000
(Being the accounting of Credit Sales)    
(e) Selling Overheads A/c. Dr. 5,000  
To Debtors A/c.   5,000
(Being the accounting of Credit Sales)    
(f) WIP Control A/c. Dr. 62,000  
Production Overheads A/c. Dr.
(50% of Rs. 40,000 balance)
Admn. Overheads A/c. Dr, 
(30% of Rs. 40,000)
S & D Overheads A/c. Dr. 
(20% of Rs. 40,000)
To Wages Control A/c.   75,000
To Salaries Control A/c.   25,000
To Wages Variance A/c.   2,000
(Being the allocation of salaries and wages and debit to WIP Control A/c at Standard Wages of Rs. 62,000)    
  Total Rs. 13,15,000 13,15,000
Concept: Cost Control Accounts - Journal Entries
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