Calculate cost of manufacture

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Reference no: EM133043127

Question - A company Alfa uses IFRS. Below there are presented transactions, which appeared in May 2018.

1. Accrued salaries of: - production employees 223'000 PLN (the new production order).

- management and administration employees 95'000 PLN.

2. Purchased a new production machine at 129'000 PLN (deferred payment). The item was taken into active use.

3. Sold some goods for resale at 503'000 PLN. A 3/4 of that amount was paid. The cost of purchase of units sold was 361'000 PLN.

4. Bought new production software (it will be used for next several years) - amount of 95'000 PLN.

5. Used up petrol in delivery of finished goods to clients - 83'000 PLN.

6. Used up in production process some commodities. The value of materials used is 194'000 zl.

7. Accrued depreciation of (fixed costs):

- production machinery 82'000 PLN

- trucks used by selling department 53'000 PLN

8. Paid an advance for future delivery of materials necessary for production 72000 PLN

9. Finished the production of 510 units of products from new production order (no work in progress at the end of the year). Normal capacity is 700 units of product per month.

10. Accrued and paid interest on bank loan - amount 261'000 PLN.

Required - Calculate cost of manufacture of 1 product (1 unit). All transactions omit VAT, so you do not take VAT into consideration.

Reference no: EM133043127

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