Manufacturing accounts

[donlin]

I am due to do my corrections next wednesday on my MFR devolved. I just cannot get my head around the valuation of closing stock (finished goods) by opening a manufacturing account. Can anyone please help me before I decide to give up my studies for life.

[jasper]

Hiya<BR><BR>By carrying out the manufacturing account, you end up with &quot;production cost of goods completed&quot;.<BR><BR>Then, you have your trading account:-<BR><BR>EG:<BR><BR>Sales 50000<BR>Less cost of goods sold:-<BR>Opening stock (finished goods) 20000<BR>Add production cost of goods completed 10000<BR><BR> 30000 <BR>less closing stock (finished goods) 5000<BR>Cost of goods sold 25000<BR><BR>Gross Profit 25000<BR><BR><BR>Hope this helps. I've shocked myself that I have remembered that. I have yet to do my MFR devolved :-(

[TinaNewell]

How was your devolved - i am due to sit mine on wednesday next week and have no idea what i am doing!