Storekeeeping WASSCE (SC), 2022

Question 6

 

  1. XYZ Nigeria Ltd makes use of component k in the manufacturing of her goods.
    On the 1st of October 2018, the company has 50 units of component k valued at N 40 each in stock.
    The following transactions took place in respect of the component.
    1/10/18            Received 100 units @ N 45 each
    2/10/18            Issued 80 units
    4/10/18            Received 150 units @ N 60 each
    12/10/18          Issued 90 units
    14/10/18          Received 200 units @ N 80 each
    14/10/18          Issued 180 units
    You are required to prepare stock account for the month of October 2018 using FIFO method showing the total stock balance and value.

Observation

 

Comments
Many candidates avoided this question however those that attempted the question performed averagely well. However, the mistake candidates made was leaving out the title of the account and the total stock balance computation which is - Stock Account Using FIFO Method For the Month of October, 2018 and 150 units @ N 80 each = N12,000 which was awarded reasonably ticks.
The responses expected from candidates are:

6.                                                         XYZ Nigeria Ltd
Stock Account Using FIFO Method For the Month of October, 2018


Date

Receipts

Issues

Balance

Quantity (Units)

Cost per unit(N)

Amount
(N)

Quantity (Units)

Cost per unit(N)

Amount
(N)

Quantity (Units)

Cost per unit(N)

1/10/18

50

40

2,000

-

-

-

50

2,000

1/10/18

100

45

4,500

-

-

-

150

6,500

2/10/18

-

-

-

50

40

2,000

100

4,500

 

 

 

 

30

45

1,350

70

3,150

 

 

 

 

 

 

3,350

 

 

4/1018

150

60

9,000

-

-

-

220

12,150

12/10/18

-

-

-

70

45

3,150

150

9,000

 

 

 

 

20

60

1,200

130

7,800

 

 

 

 

 

 

4,350

 

 

14/10/18

200

80

16,000

-

-

-

330

23,800

14/10/18

-

-

-

130

60

7,800

200

16,000

14/10/18

 

 

 

50

80

4,000

150

12,000

The total stock balance using FIFO Method is
150 units@ #80 each√= N12,000