P.L.SUBRAHMANYAM | 9642733211
STATEMENT OF COST SHEET
PARTICULARS AMOUNT AMOUNT
Direct Material 1
Direct Labour 2
Direct Expenses 3
XXX
XXX
XXX
Prime Cost XXX
XXXAdd Factory or Works on Cost
Add Opening Stock of Work-in-Progress
XXX
XXX
XXX
(XXX)Less Closing Stock of Work-in-Progress
Factory or
Works on Cost 4
XXX
XXXAdd Office & Administrative Over Head 5
Cost of Production XXX
XXXAdd Opening Stock of Finished goods
Less Closing Stock of Finished goods
XXX
(XXX)
Cost of Goods Sold XXX
XXXAdd Selling & Distribution Expenses 6
Total Cost XXX
XXXAdd Profit
Selling Price XXX

P.L.SUBRAHMANYAM | 9642733211
1 Direct Material:
PARTICULARS AMOUNT AMOUNT
Opening Stock of Raw Material XXX
Add Purchases of Raw Material
Carriage Inwards
Octroi & Customs Duty
XXX
XXX
XXX
XXX
(XXX)
Less Closing Stock of Raw Material
Cost of Material Stock
Defective Material returned
By-Products
Abnormal Wastages of Material
Material Scrap sold
(XXX)
(XXX)
(XXX)
(XXX)
(XXX)
(XXX)
Direct Material / Material Consumed /
Material Used / Convertible Material XXX
2 Direct Labour:
It is also known as direct wages or productive wages or productive labour.
PARTICULARS AMOUNT
Direct Wages XXX
(XXX)
XXX
Less Abnormal wastage of time or Abnormal idle time
Direct Labour
3 Direct Labour:
Direct expenses comprising of Excise Duty, Royalty, Architect or Supervisor’s Fee, Cost of rectifying
defective work, Travelling expenses to the site, Experimental expenses, Expenses of Designing or
Drawing, Repair and Hire of Equipment obtained on contract, etc…
4 Factory or Works on Cost:
These include Indirect wages, Factory rent and rates, Depreciation & Repairs on machinery, Fuel &
Power, Gas & Water, Heating & Lighting, Foremen’s Wages, Workers Bonus, Factory Insurance,
Loose tools, Technical Director’s Fee, Canteen expenses, Laboratory expenses, Municipal taxes,
Internal transport, Stores overhead, Oil & Cleaning, Training to the new employees, etc…
5 Offices & Administrative Overhead:
These includes Director’s fee, Director’s travelling expenses, Salaries of staff, Printing and
Stationery, Postage & Telegrams, Office rent, Rates, Taxes, Lighting, Bank charges and
Commissions, General expenses, Establishment expenses, Subscription of Trades and Journal,
etc…
6 Selling & Distribution Expenses:
These include Advertising, Bad debts, Commission on sales, Collection expenses, Salesmen’s
salaries, Distribution expenses, Carriage outwards, Trade discounts, Cash discounts allowed,
Godown or Warehouse expenses, Expenses of Sales office, Depreciation on delivery vehicle,
Packing expenses, Expenses for the recovery of bad debts, Upkeep of delivery vehicles, etc…