SOLUTIONS OF COST ACCOUNTING EXAMPLES
1.  
 
 
Detail
Debit
Credit
730 Manufacturing Overhead
 
5,000
 
       -Materials
5,000
 
 
       -Cutting department
5,000
 
 
 150 Materials inventory
 
 
5,000
 
2.  
 
Detail
Debit
Credit
740 Service Cost
 
150,000
 
770 General administrative expenses
 
12,000
 
       -Salaries
162,000
 
 
       -Internal medicine clinic
        Surgery clinic
        Pediatric clinic
        Accounting department
        Human recourses dept.
50,000
70,000
30,000
7,000
5,000
 
 
 XXX
 
 
 
 
3.
 
Detail
Debit
Credit
730 Manufacturing Overhead
 
8,000
 
       -Salaries
8,000
 
 
       -Assembly department
8,000
 
 
 XXX
 
 
 
 
4.
             20,000 * 0.18 = 3,600 TL VAT
            20,000 * 0.7 = 14,000 TL manufacturing employees
            20,000 * 0.3 = 6,000 TL administrative employees
 
 
Detail
Debit
Credit
730 Manufacturing Overhead
 
14,000
 
770 General administrative expenses
 
6,000
 
       -Outsourced services
          -Subcontracted service
          expenses
20,000
20,000
 
 
      -Social services (factory)
       Social services (admin)
14,000
6,000
 
 
VAT deductible
 
3,600
 
 Bank accounts
 
 
23,600
 
5.        
 
Detail
Debit
Credit
770 General administrative expenses
 
2,000
 
       -Miscellaneous expenses
          - Insurance expenses
2,000
2,000
 
 
 Prepaid expenses
 
 
2,000
 
6.
 
Detail
Debit
Credit
770 General administrative expenses
 
5,000
 
       -Miscellaneous expenses
          - Rent expense
5,000
5,000
 
 
       - Building occupancy
         (admin)
5,000
 
 
 Bank accounts
 
 
5,000
 
7.
           30,000 * 0.18 = 5,400 TL VAT
            30,000 * 0.7 = 21,000 TL manufacturing employees
            30,000 * 0.3 = 9,000 TL administrative employees
 
 
Detail
Debit
Credit
730 Manufacturing Overhead
 
21,000
 
770 General administrative expenses
 
9,000
 
       -Outsourced services
          -Subcontracted service
            expenses
30,000
30,000
 
 
      -Social services (factory)
       Social services (admin)
21,000
9,000
 
 
VAT deductible
 
5,400
 
 Bank accounts
 
 
35,400
 
8.
            50,000 * 0.18 = 9,000 TL VAT        
 
 
Detail
Debit
Credit
760 Selling, marketing and delivery expenses
 
50,000
 
       -Miscellaneous expenses 
          -Advertising and promotion expenses
50,000
50,000
 
 
      -Marketing department 50,000    
VAT deductible
 
9,000
 
 Bank accounts
 
 
59,000
 
9.        
            4,000 * 0.18 = 720 TL VAT
 
 
Detail
Debit
Credit
760 Selling, marketing and delivery expenses
 
4,000
 
       -Outsourced services 
          -Expenses related to sales and delivery
4,000
4,000
 
 
VAT deductible
 
720
 
 Bank accounts
 
 
4,720
 
 
10.
 
Detail
Debit
Credit
730 Manufacturing overhead
 
15,000
 
       -Salaries
15,000
 
 
       -Factory management
15,000
 
 
 XXX
 
 
 
 
11.
 
Detail
Debit
Credit
740 Service cost
 
27,000
 
       -Materials
27,000
 
 
       -Surgery clinic
        Internal medicine clinic
20,000
7,000
 
 
 150 Materials inventory
 
 
27,000
 
12.      
           
 
Detail
Debit
Credit
740 Service cost
 
1,000
 
       -Taxes and duties
1,000
 
 
       -34 XX XX
1,000
 
 
 Cash
 
 
1,000
 
13.
 
Detail
Debit
Credit
770 General administrative expenses
 
800
 
       -Outsourced services
          -Communication  expenses
800
800
 
 
       - Building occupancy
         (admin)
800
 
 
 Cash
 
 
800
 
14.
 
Detail
Debit
Credit
730 Manufacturing overhead
 
80,000
 
       -Outsourced services
          -Utility expenses
80,000
80,000
 
 
       - Energy
80,000
 
 
 Bank accounts
 
 
80,000
 
15.
 
Detail
Debit
Credit
730 Manufacturing overhead
 
1,200
 
       -Salaries
1,200
 
 
       -Materials handling
1,200
 
 
 XXX
 
 
 
 
16.
 
Detail
Debit
Credit
730 Manufacturing Overhead
 
140,000
 
770 General administrative expenses
 
15,000
 
       -Depreciation and amortization
155,000
 
 
      -Building occupancy
       (factory)
       Building occupancy
       (admin)
140,000
 
15,000
 
 
 Accumulated depreciation
 
 
155,000
 
17.
 
Detail
Debit
Credit
740 Service cost
 
180,000
 
       -Depreciation and amortization
180,000
 
 
      -Radio diagnostic department
180,000
 
 
 
 Accumulated depreciation
 
 
180,000
 
18.
            2,500 * 0.18 = 450 TL VAT
 
 
Detail
Debit
Credit
730 Manufacturing overhead
 
2,500
 
       -Outsourced services
           -Repair and maintenance expenses
2,500
2,500
 
 
       -Welding department
2,500
 
 
VAT deductible
450
 
 
 Bank accounts
 
 
2,950
 
19.
            1,500 * 0.08 = 120 TL VAT
            1,500 * 0.7 = 1,050 TL manufacturing employees
            1,500 * 0.3 = 450 TL administrative employees
 
 
Detail
Debit
Credit
730 Manufacturing Overhead
 
1,050
 
770 General administrative expenses
 
450
 
       -Materials
1,500
 
 
      -Social services (factory)
       Social services (admin)
1,050
450
 
 
VAT deductible
 
120
 
 Cash
 
 
1,620
 
20.
 
Detail
Debit
Credit
730 Manufacturing overhead
 
10,000
 
       -Salaries
10,000
 
 
       -Repair and maintenance department
10,000
 
 
 XXX
 
 
 
 
21.
 
Debit
Credit
622 Cost of service sold
150,000
 
631 Selling, marketing and delivery expenses
50,000
 
632 General administrative expenses
30,000
 
 741 Service cost transfer account
 
150,000
 761 Selling, marketing and delivery expenses transfer account
 
50,000
 771 General administrative expenses transfer account
 
30,000