COST SHEET

There is no prescribed format of a Cost sheet. It may change from industry to industry. A specimen format of a Cost Sheet is given as under:

Particulars
A. Direct Materials Consumed : Purchases .............. Add : Opening Stock of Raw material .............. Expenses on Purchases .............. Less : Closing Stock of Raw Material .............. Direct Material consumed .............. .............. B. Direct Labour (Wages) .............. C. Direct Expenses ..............

Total (Rs.)

D. Prime Cost (A + B + C) ..............

E. Factory/Works Overheads Indirect materials, bolts, nuts, screws, thread, nails, lubricants, etc. Gas, steam, power, fuel, coal, haulage, lighting, lighting & heating. Rent, rates, taxes and insurance. Works managers salary Factory workers salary Depreciation, repairs& maintenance Oiling and cleaning of machines. Technical directors fees or remuneration. Experimental and research expenses. Cost of training the new employees. Laboratory expenses. Supervision, inspection and testing fees. Cost of rectifying defective output. Water treatment plant expenses.

Add : Opening Stock of Work-in-Progress .............. Less : Closing Stock of Work-in-Progress ..............

F. Works/Factory Cost (D + E) ..............

G. Add-Office and administration overheads ..............

Printing and stationery used in the office. Office salaries. Office rent, rates and insurance. Office lighting, heating and cleaning.

Depreciation and repairs of office building. Legal, bank, audit, postage and telephone charges. Trade subscription / trade magazines. General expenses.

H. Total Cost of Production (F + G) ..............

Add : Opening Stock of finished Goods .............. Less : Closing Stock of finished Goods ..............

I. Cost of production of goods Sold or cost of good sold .............. J. Add- Selling and Distribution Overheads ..............
Salaries and commission to sales personnel. Advertisement and publicity. Showroom expenses. Exhibition expenses. Bad debt Collection charges Traveling Rent, rates, warehouse insurance Depreciation of delivery vans. Wages of dispatch clerks. Freight and insurance charges. Discount, commission and brokerage, Sample expenses. Expenses of catalogues and price lists Insurance and taxes of finished goods. Warehouse wages. Carriage outward.

K. Total Cost (I + J) = Cost of Sales .............. L. Profit .............. M. Sales (K + L) .............