(I) The following information are given: Hourly production: 4 units Hourly wage rate: Rs. 200 Total production: 800 units Required: Total wages payable [2] (II) On reconciliation of cost and…

(I) Calculation of Total Wages Payable

Given:

• Hourly production = 4 units
• Hourly wage rate = Rs. 200
• Total production = 800 units

Step 1: Calculate total hours worked $$\text{Total hours}=\frac{\text{Total production}}{\text{Hourly production}}=\frac{800}{4}=200\text{ hours}$$

Step 2: Calculate total wages payable $$\text{Total wages}=\text{Total hours}\times \text{Hourly wage rate}=200\times 200=\text{Rs. 40,000}$$

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(II) Reconciliation Statement of Cost and Financial Accounts

Given Data:

Step 1: Identify differences and adjustments

1. Depreciation difference:

   • Financial account shows Rs. 65,000 (lower than cost account).
   • Adjustment: Add Rs. 20,000 (85,000 – 65,000) to financial profit.

2. Closing stock difference:

   • Financial account shows Rs. 25,000 (higher than cost account).
   • Adjustment: Deduct Rs. 5,000 (25,000 – 20,000) from financial profit.

3. Dividend received:

   • Financial account includes Rs. 5,000 (non-operating income).
   • Adjustment: Deduct Rs. 5,000 (since it is not part of cost accounting).

4. Profit as per cost account:

   • Given as Rs. 95,000 (base for reconciliation).

Step 2: Prepare reconciliation statement

| Particulars                          | Amount (Rs.) |
|--------------------------------------|--------------|
| Profit as per cost account           | 95,000       |
| Add: Depreciation difference         | +20,000      |
| Less: Closing stock difference       | -5,000       |
| Less: Dividend received               | -5,000       |
| **Profit as per financial account**  | **105,000**  |

Final Answer: The profit as per the financial account is Rs. 105,000.