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Chapter 8 Kakadva co operative society

1. Calculation of Milk Procured

Quantity Rate Cost (expense) Paid (payment) To be paid

(liability)4,51,628 lit Rs.20 90,32,560 *86,30,162 4,02,398

2. Calculation of Milk Sold

Quantity Rate Price (income) Received(receipt)

To be received(Asset)

4,51,500 lit Rs.20.45 92,33,175 *74,62,280 17,70,895

3. Cost of Cattle Fodder Purchased

Date QuantityBags .

Rate perbag

Cost Freight Total Cost Cost perbag.

Jan 3,2010

Sumuldan400

2410 9,64,000 1650 9,65,650 2414.125

Feb 2 2010 Cattle fodderdan 5000

287 14,35,000 4355 14,39,355 287.871

23,99,000 24,05,005

4. Cost and Price of Cattle Fodder Sold

TotalQuantityPurchased

Total Cost ofPurchase

QuantityUnsold on31st March

Cost ofQuantityUnsoldClosingStock

Cost ofQuantity Sold(KOGS)

Price of bagCattleFodder Sold

Sumuldan400

9,65,650 - - 12,00,000 3000

Cattle fodder

dan500014,39,355 - - 17,50,000 350

24,05,005 29,50,000

5. Expenses

Item Total amountPayable (Expenses)

Amount Actually Paid Amount RemainedUnpaid

Electricity charges 98,709 98,709 -

Stationery expenses 10,000 10,000 -

Salary 1,33,200(3700*12*3) 1,22,100 11,100

Meeting Expenses 15,000 15,000 -

Total 2,56,909 2,45,809 11,100

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6. Depreciation

Cost Non-

Refundable

Grant

Life

in

yrs

Depre-

ciation

Depreciation

Adjusted Against

Grant

Net

Depre-

ciation

WDV on

March

31, 2010

Cooling Unit 1,80,000 72,000 8 13,500 - 13,500 94,500

TestingEquipments

Furniture

Computer

7. Cash at Bank A/c

Receipts Rs. Payments Rs.

Equity share capital 15,00,000 Purchase of BCU 1,80,000

NRG NDDB BCU 72,000 Purchase of computer 30,000

Soft loan NDDB 1,08,000 Pur.of test.machine 65,000

State Govt. .grant 1,00,000 Pur. Of furniture 5,000

Sale of milk 74,62,280 Salary 1,22,100

Cattle fodder sold 29,50,000 Payment for milk 86,30,162

Ele.expense 98,709Office expense 10,000

Meeting expense 15,000

Pur. Of cattle fodder 24,05,005

Total Receipts 121,92,280 Total Payments 115,60,976

Balance as on 31st March, 2010 6,31,304

121,92,280

8. Profit and Loss Account of Kakadva Co-operative Society for the year ending on 31-03-2010 First Method (100% Govt Grants adjusted against the cost of the Asset)

Income

I. Milk business

Sales 92,33,175

Less Cost of goods sold 90,32,560

= Gross Margin 2, 00,615

II. Cattle Fodder business

Sales 29,50,000

Less Cost of goods sold 24,05,005

Gross margin 5,44,995

Total gross margin 7,45,610

Less Expenses - Depreciation 13,500

Total Expenses 2,56,909

Net Profit 475201

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9. Balance sheet of Kakadva Cooperative Society as on 31stMarch 2010

First Method for government grant

(100% Govt Grants adjusted against the cost of the Asset)

Liabilities Rs. Assets Rs.

Equity share

capital

15,00,000 BCU 1,80,000

Net profit 4,75,201 NR grant - 72,000

Soft loan 1,08,000 1,08,000

Salary payable 11,100 Depreciation -13,500 94,500

Milk pricepayable to themembers

4,02,398 Computer 30,000

State. Gov.grant - 30,000 -

Testing machine 65,000

State. Gov.grant -65,000 -

Furniture 5,000

State. Gov.grant -5000 -

Debtors -Sumul 17,70,895

Cash & bank 6,31,30424,96,699 24,96,699

Second method for government grant

(Governgrant is adjusted in proportion with Depreciation)

Liabilities Rs. Assets Rs.

Equity share capital 15,00,000 BCU 1,80,000

Net profit 4,75,201 Depreciation -22500 157500Soft loan 180000*60% 1,08,000 Computer 30,000

Salary payable 11,100 Depreciation - 6,000 24,000

Milk price payable tothe members

4,02,398 Testing machine 65,000

Reserve for BCU 72000 Depreciation -8,125 56,875

NDDB grant - 9000 63000 Furniture 5,000

Reserve forcomputer

30,000 Depreciation -625 4,375

Govt. grant -6,000 24,000 Debtors -Sumul 17,70,895

Reserve for testingmachine

65,000 Cash & bank 6,31,304

Govt. grant -8,125 56,875

Reserve for furniture 5,000

Govt. grant -625 4,3752644949 2644949

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10. Profit and Loss Account of Kakadva Co-operative Society for the year ending on

31-03-2010

Second Method (Governgrant is adjusted in proportion with Depreciation)

Decrease in reserve for BCU 9000Decrease in reserve for computer 6,000

Decrease in reserve for testing machine 8125

Decrease in reserve for furniture 625 23,750

Income

III. Milk business

Sales 92,33,175

Less Cost of goods sold 90,32,560

= Gross Margin 2,00,615IV. Cattle Fodder business

Sales 29,50,000

Less Cost of goods sold 24,05,005

Gross margin 5,44,995

Total gross margin 7,69,360

Less Expenses - Depreciation -BCU 22500

Depreciation computer 6000

Depreciation -testing machine 8125

Depreciation furniture 625

Total Expenses 2,56,909 2,94,159

Net Profit 4,75,201