Cost Accounting - Cost Sheet Format

Direct Material Cost 1. Op stock of raw material 2. Purchase of raw material 3. Carriage inward 4.(-) Purchase return 5. (-) Clo stock of raw material Direct labour/wages or productive wages Direct Expenses 1. Royalties 2. Sp dyes & design 3. Hire charges of sp machinery PRIME COST Add Factory Overheads (-) Sale of Scarp GROSS FACTORY COST +Op stock of W.I.P -Clo stock of W.I.P NET FACTORY COST / WORK COST Add Office & Administration overheads COST OF PRODUCTION + Op stock of Finished goods - Clo stock of Finished goods COST OF GOODS SOLD Add Selling & Distribution overheads TOTAL COST Add PROFIT SALES