Accountancy Forum

Please solve this question

Star chemicals ltd imported 500 kg of raw material XR with a price of 1500 US $ per metric ton(1 metric tone =1000kg)company paid import duty of RS 40000 and other import charges RS 12000.The withholding tax applicable is 5% of the purchase price payable at the time of import.Also company had to pay RS 5000 for clearing charges and RS 8000 for transporting goods to their factory.

The raw material is used by the company in a product which is later exported and export rebate of 75% is receivable.
At the end of the year company has consumed three fifth of the stock.
Currency conversion rate is 1 US $=RS 60

Calculate the value of ending inventory.

Hi

The Cls Inv 200 kg PKR 44,900

rebate is usually calculated on the Sale Price anyways you can check and mk necessary adj.

xee



<blockquote id="quote"><font size="1" face="Verdana, Tahoma, Arial" id="quote">quote<hr height="1" noshade id="quote"><i>Originally posted by dhoom</i>
<br />Please solve this questionStar chemicals ltd imported 500 kg of raw material XR with a price of 1500 US $ per metric ton(1 metric tone =1000kg)company paid import duty of RS 40000 and other import charges RS 12000.The withholding tax applicable is 5% of the purchase price payable at the time of import.Also company had to pay RS 5000 for clearing charges and RS 8000 for transporting goods to their factory.

The raw material is used by the company in a product which is later exported and export rebate of 75% is receivable.
At the end of the year company has consumed three fifth of the stock.
Currency conversion rate is 1 US $=RS 60

Calculate the value of ending inventory.



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Thanx for helping