Manufacturing accounts — Paper 1 · IGCSE Accounting 0452

27 A manufacturing business provided the following information for the year ended 30 November 2019 $ factory supervisor’s salary 25 000 factory power 5 000 machinery depreciation 11 000 machinery operators’ wages 29 000 raw materials consumed 82 000 What was the total of the direct costs? A $111 000 B $116 000 C $127 000 D $152 000

1 marks

Answer: A

This question in 0452/12 Feb/March 2020

28 What would be included in the statement of financial position of a manufacturing business but not a wholesale business? A cash B office equipment C trade receivables D work in progress

1 marks

Answer: D

This question in 0452/12 Feb/March 2020

26 Which cost is part of the prime cost for a manufacturing business? A carriage inwards B carriage outwards C factory rent D factory supervisor’s salary

1 marks

Answer: A

This question in 0452/12 May/June 2020

27 A manufacturing business provided the following information. $ prime cost 236 000 factory overheads 42 000 opening work in progress 8 000 closing work in progress 6 000 What was the factory cost of production? A $234 000 B $238 000 C $276 000 D $280 000

1 marks

Answer: D

This question in 0452/12 May/June 2020

26 Which cost is part of the prime cost for a manufacturing business? A carriage inwards B carriage outwards C factory rent D factory supervisor’s salary

1 marks

Answer: A

This question in 0452/13 May/June 2020

27 A manufacturing business provided the following information. $ prime cost 236 000 factory overheads 42 000 opening work in progress 8 000 closing work in progress 6 000 What was the factory cost of production? A $234 000 B $238 000 C $276 000 D $280 000

1 marks

Answer: D

This question in 0452/13 May/June 2020

25 A manufacturing company provided the following information. $ cost of raw materials 186 000 direct wages 75 000 machinery depreciation 45 000 factory supervisor’s salary 32 000 factory rent 24 000 machinery repairs 18 000 What was the prime cost of manufacturing? A $186 000 B $261 000 C $293 000 D $380 000

1 marks

Answer: B

This question in 0452/11 Oct/Nov 2020

26 A manufacturer’s work in progress at the start of the year was valued at $850. At the end of the year it was valued at $10 200. What was the effect of this increase on the cost of production and the cost of sales? cost of cost of production sales A decrease decrease B decrease increase C increase decrease D increase increase

1 marks

Answer: A

This question in 0452/11 Oct/Nov 2020

25 A manufacturing company provided the following information. $ cost of raw materials 186 000 direct wages 75 000 machinery depreciation 45 000 factory supervisor’s salary 32 000 factory rent 24 000 machinery repairs 18 000 What was the prime cost of manufacturing? A $186 000 B $261 000 C $293 000 D $380 000

1 marks

Answer: B

This question in 0452/13 Oct/Nov 2020

26 A manufacturer’s work in progress at the start of the year was valued at $850. At the end of the year it was valued at $10 200. What was the effect of this increase on the cost of production and the cost of sales? cost of cost of production sales A decrease decrease B decrease increase C increase decrease D increase increase

1 marks

Answer: A

This question in 0452/13 Oct/Nov 2020

26 The following costs were incurred by a clothing manufacturer. 1 purchase of fabric 2 purchase of buttons 3 repairs to sewing machine 4 wages of factory supervisors 5 wages of sewing machinists Which costs are indirect costs? A 1, 2 and 5 B 1, 4 and 5 C 2 and 3 D 3 and 4

1 marks

Answer: D

This question in 0452/12 Feb/March 2021

27 A manufacturer calculated the cost of production for the year at $57 000. It was found that lighting and heating, $2000, had been omitted from the financial statements. Lighting and heating is allocated 75% to the factory and 25% to the offices. What was the correct cost of production? A $55 500 B $56 500 C $57 500 D $58 500

1 marks

Answer: D

This question in 0452/12 Feb/March 2021

28 How does a manufacturer calculate prime cost? A direct material + direct labour B direct material + direct labour + direct expenses C direct material + direct labour + direct expenses + factory overheads D direct material + direct labour + factory overheads

1 marks

Answer: B

This question in 0452/12 May/June 2021

28 How does a manufacturer calculate prime cost? A direct material + direct labour B direct material + direct labour + direct expenses C direct material + direct labour + direct expenses + factory overheads D direct material + direct labour + factory overheads

1 marks

Answer: B

This question in 0452/13 May/June 2021

24 What is not part of the prime cost of a manufacturing business? A raw material B royalties C wages of factory supervisors D wages of production workers

1 marks

Answer: C

This question in 0452/11 Oct/Nov 2021

25 The value of Thato’s work in progress increased during the year. This was recorded in his financial statements. How did this affect the cost of production and the cost of sales? cost of cost of sales production A decreased decreased B decreased no effect C increased increased D increased no effect

1 marks

Answer: A

This question in 0452/11 Oct/Nov 2021

24 What is not part of the prime cost of a manufacturing business? A raw material B royalties C wages of factory supervisors D wages of production workers

1 marks

Answer: C

This question in 0452/13 Oct/Nov 2021

25 The value of Thato’s work in progress increased during the year. This was recorded in his financial statements. How did this affect the cost of production and the cost of sales? cost of cost of sales production A decreased decreased B decreased no effect C increased increased D increased no effect

1 marks

Answer: A

This question in 0452/13 Oct/Nov 2021

29 What is shown in a manufacturing account? 1 cost of material consumed 2 purchases of finished goods 3 cost of production 4 cost of sales A 1 and 2 only B 1 and 3 only C 1, 2 and 3 only D 1, 2, 3 and 4

1 marks

Answer: B

This question in 0452/12 Feb/March 2022

27 Which group contains only items included in the prime cost of a manufacturer? A direct expenses, depreciation of factory machinery, royalties B direct wages, factory supervisor’s wages, factory insurance C factory overheads, raw materials, direct expenses D raw materials, royalties, direct labour

1 marks

Answer: D

This question in 0452/11 May/June 2022

28 The work in progress of ZT Manufacturers on 1 January was valued at $6200. At the end of the year it was valued at $5400. What was the effect on the cost of production for the year? A decrease $800 B decrease $11 600 C increase $800 D increase $11 600

1 marks

Answer: C

This question in 0452/11 May/June 2022

24 The work in progress of ZT Manufacturers on 1 January was valued at $6200. At the end of the year it was valued at $5400. What was the effect on the cost of production for the year? A decrease $800 B decrease $11 600 C increase $800 D increase $11 600

1 marks

Answer: C

This question in 0452/12 May/June 2022

25 A manufacturing company provided the following information. $ cost of production 345 000 finished goods 1 January 2021 42 000 31 December 2021 36 000 purchases of finished goods 15 000 What was the cost of sales? A $324 000 B $336 000 C $351 000 D $366 000

1 marks

Answer: D

This question in 0452/12 May/June 2022

24 The work in progress of ZT Manufacturers on 1 January was valued at $6200. At the end of the year it was valued at $5400. What was the effect on the cost of production for the year? A decrease $800 B decrease $11 600 C increase $800 D increase $11 600

1 marks

Answer: C

This question in 0452/13 May/June 2022

25 A manufacturing company provided the following information. $ cost of production 345 000 finished goods 1 January 2021 42 000 31 December 2021 36 000 purchases of finished goods 15 000 What was the cost of sales? A $324 000 B $336 000 C $351 000 D $366 000

1 marks

Answer: D

This question in 0452/13 May/June 2022

28 A food processing factory fills cans with vegetables. The filled cans are then sold to shops. Which wages are direct labour costs for the factory? 1 wages paid to workers who load the cans on to lorries for delivery to shops 2 wages paid to workers who operate machines that fill the cans with vegetables 3 wages paid to people working on the maintenance of the machinery in the factory 4 wages paid to people working on the assembly line putting labels on the cans A 1, 2 and 4 B 1 and 3 C 2 and 3 D 2 and 4 only

1 marks

Answer: D

This question in 0452/11 Oct/Nov 2022

29 Thembi manufactures wooden toys. She provided the following information for the financial year ended 31 August 2022. $ prime cost 35 000 factory overheads 17 000 work in progress: opening inventory 1 400 closing inventory 2 300 What was the cost of production of finished goods? A $49 700 B $51 100 C $52 000 D $52 900

1 marks

Answer: B

This question in 0452/11 Oct/Nov 2022

25 Dan makes t-shirts which are stamped with a design using fabric paint. He provided the following information. $ fabric for t-shirts 10 000 factory heating and lighting 5 000 fabric paint 4 000 factory rent 8 000 wages of machine operators 16 000 What was the total of the direct costs? A $19 000 B $23 000 C $30 000 D $31 000

1 marks

Answer: C

This question in 0452/12 Oct/Nov 2022

26 In a manufacturing account, carriage on raw materials was incorrectly treated as a factory overhead. How did this error affect the prime cost and the cost of production? cost of prime cost production A overstated no effect B overstated overstated C understated no effect D understated understated

1 marks

Answer: C

This question in 0452/12 Oct/Nov 2022

28 A food processing factory fills cans with vegetables. The filled cans are then sold to shops. Which wages are direct labour costs for the factory? 1 wages paid to workers who load the cans on to lorries for delivery to shops 2 wages paid to workers who operate machines that fill the cans with vegetables 3 wages paid to people working on the maintenance of the machinery in the factory 4 wages paid to people working on the assembly line putting labels on the cans A 1, 2 and 4 B 1 and 3 C 2 and 3 D 2 and 4 only

1 marks

Answer: D

This question in 0452/13 Oct/Nov 2022

29 Thembi manufactures wooden toys. She provided the following information for the financial year ended 31 August 2022. $ prime cost 35 000 factory overheads 17 000 work in progress: opening inventory 1 400 closing inventory 2 300 What was the cost of production of finished goods? A $49 700 B $51 100 C $52 000 D $52 900

1 marks

Answer: B

This question in 0452/13 Oct/Nov 2022

29 A manufacturing business provided the following information for the year ended 30 November 2022. $ factory supervisor’s salary 25 000 factory heat and light 5 000 machinery depreciation 11 000 machinery operators’ wages 29 000 raw materials consumed 82 000 What was the total of the direct costs? A $111 000 B $116 000 C $127 000 D $152 000

1 marks

Answer: A

This question in 0452/12 Feb/March 2023

30 Where is work-in-progress shown in the statement of financial position of a manufacturing business? A current assets B current liabilities C non-current assets D non-current liabilities

1 marks

Answer: A

This question in 0452/12 Feb/March 2023

29 Tim started a manufacturing business on 1 January. He provided the following information about his first year in business. $ closing inventory of finished goods 2 060 closing work in progress 1 840 factory overheads 15 530 prime cost 70 570 What was Tim’s cost of production? A $82 200 B $84 260 C $86 100 D $87 940

1 marks

Answer: B

This question in 0452/11 May/June 2023

29 A business provided the following information. $ opening inventory of raw material 50 000 closing inventory of raw material 60 000 purchases of raw material 80 000 carriage inwards on raw material 2 000 What was the cost of raw material consumed? A $70 000 B $72 000 C $90 000 D $92 000

1 marks

Answer: B

This question in 0452/12 May/June 2023

29 A business provided the following information. $ opening inventory of raw material 50 000 closing inventory of raw material 60 000 purchases of raw material 80 000 carriage inwards on raw material 2 000 What was the cost of raw material consumed? A $70 000 B $72 000 C $90 000 D $92 000

1 marks

Answer: B

This question in 0452/13 May/June 2023

29 Which option contains only indirect costs? A carriage inwards, factory rent, wages of factory supervisors B carriage inwards, raw materials, wages of machine operators C depreciation of machinery, factory rent, wages of factory supervisors D depreciation of machinery, raw materials, wages of machine operators

1 marks

Answer: C

This question in 0452/11 Oct/Nov 2023

27 Which cost is a direct factory cost? A carriage outwards B depreciation of factory machinery C factory supervisors’ wages D manufacturing royalties

1 marks

Answer: D

This question in 0452/12 Oct/Nov 2023

28 A manufacturing business provided the following information. $ closing work in progress 840 factory overheads 20 945 opening work in progress 910 prime cost 40 750 What was the factory cost of production? A $19 735 B $19 875 C $61 625 D $61 765

1 marks

Answer: D

This question in 0452/12 Oct/Nov 2023

29 Which option contains only indirect costs? A carriage inwards, factory rent, wages of factory supervisors B carriage inwards, raw materials, wages of machine operators C depreciation of machinery, factory rent, wages of factory supervisors D depreciation of machinery, raw materials, wages of machine operators

1 marks

Answer: C

This question in 0452/13 Oct/Nov 2023

29 Which costs of a manufacturing business are indirect costs? 1 heating and lighting of the factory 2 raw materials used in production 3 rent and rates of the factory 4 wages of employees who make the product A 1, 3 and 4 B 1 and 3 only C 1 only D 2 and 4

1 marks

Answer: B

This question in 0452/12 Feb/March 2024

30 A manufacturer provided the following information at the end of his financial year. $ prime cost 98 400 factory overheads 17 800 work in progress at start of year 6 300 work in progress at end of year 7 600 What was the cost of production for the year? A $79 300 B $81 900 C $114 900 D $117 500

1 marks

Answer: C

This question in 0452/12 Feb/March 2024

28 At the end of the financial year, a manufacturing business owed rent on its factory. The business adjusted its financial statements to account for this. What effects did this adjustment have? prime cost cost of production gross profit A decrease decrease increase B no effect increase decrease C no effect no effect decrease D increase increase decrease

1 marks

Answer: B

This question in 0452/11 May/June 2024

29 What is a direct cost for a manufacturer? A carriage outwards B depreciation of delivery vehicle C factory supervisor’s salary D production royalties

1 marks

Answer: D

This question in 0452/11 May/June 2024

28 A manufacturing company provided the following information. $ cost of raw materials 186 000 direct wages 75 000 machinery depreciation 45 000 factory supervisor’s salary 32 000 factory rent 24 000 machinery repairs 18 000 What was the prime cost of manufacturing? A $186 000 B $261 000 C $293 000 D $380 000

1 marks

Answer: B

This question in 0452/12 May/June 2024

29 Sam’s work in progress was $6500 at the start of the year and $11 200 at the end of the year. When Sam prepared his manufacturing account, he forgot to make the adjustment for work in progress. How did this omission affect the cost of production and the gross profit? cost of production gross profit A overstated overstated B overstated understated C understated overstated D understated understated

1 marks

Answer: B

This question in 0452/12 May/June 2024

21 Which item is a current asset? A bank overdraft B loan repayable in 12 months C prepaid income D work in progress

1 marks

Answer: D

This question in 0452/13 May/June 2024

28 A manufacturing company provided the following information. $ cost of raw materials 186 000 direct wages 75 000 machinery depreciation 45 000 factory supervisor’s salary 32 000 factory rent 24 000 machinery repairs 18 000 What was the prime cost of manufacturing? A $186 000 B $261 000 C $293 000 D $380 000

1 marks

Answer: B

This question in 0452/13 May/June 2024

29 Sam’s work in progress was $6500 at the start of the year and $11 200 at the end of the year. When Sam prepared his manufacturing account, he forgot to make the adjustment for work in progress. How did this omission affect the cost of production and the gross profit? cost of production gross profit A overstated overstated B overstated understated C understated overstated D understated understated

1 marks

Answer: B

This question in 0452/13 May/June 2024

27 Thato is a manufacturer. His manufacturing account for the year ended 31 December showed that his work in progress had increased. How did this affect the cost of production and the cost of sales? cost of production cost of sales A decreased decreased B decreased no effect C increased increased D increased no effect

1 marks

Answer: A

This question in 0452/11 Oct/Nov 2024

28 A factory makes uniforms for school children. What is not included in the calculation of prime cost in the factory’s manufacturing account? A cost of the cloth used to make the uniforms B delivery costs of bringing the cloth to the factory C wages of the drivers who deliver the completed uniforms to shops D wages of the sewing machinists who make the uniforms

1 marks

Answer: C

This question in 0452/11 Oct/Nov 2024

28 After a manufacturing account had been completed it was discovered that wages paid to factory cleaners had not been included. Which items in the manufacturing account would change after this error was corrected? 1 direct wages 2 indirect wages 3 prime cost 4 production cost A 1 and 2 B 1, 3 and 4 C 2 and 4 D 3 and 4 only

1 marks

Answer: C

This question in 0452/12 Oct/Nov 2024

29 W Limited manufactures motorbikes. The following information relates to the first year in business. $ purchases of motorbike parts 40000 wages of factory workers 25000 production overheads 8000 inventory of motorbike parts at the year end 3000 inventory of partly finished motorbikes at the year end 7000 What was the cost of production of the motorbikes completed during the year? A $63000 B $65000 C $70000 D $77000

1 marks

Answer: A

This question in 0452/12 Oct/Nov 2024

27 Thato is a manufacturer. His manufacturing account for the year ended 31 December showed that his work in progress had increased. How did this affect the cost of production and the cost of sales? cost of production cost of sales A decreased decreased B decreased no effect C increased increased D increased no effect

1 marks

Answer: A

This question in 0452/13 Oct/Nov 2024

28 A factory makes uniforms for school children. What is not included in the calculation of prime cost in the factory’s manufacturing account? A cost of the cloth used to make the uniforms B delivery costs of bringing the cloth to the factory C wages of the drivers who deliver the completed uniforms to shops D wages of the sewing machinists who make the uniforms

1 marks

Answer: C

This question in 0452/13 Oct/Nov 2024

28 Which statement about work in progress is correct? A It consists of completed and partly completed goods. B It is adjusted for when calculating prime cost. C It is included as inventory in the statement of financial position. D It is included in the manufacturing account and income statement.

1 marks

Answer: C

This question in 0452/12 Feb/March 2025

29 A manufacturer calculated the cost of production for the year at $57 000. It was found that lighting and heating of $2000 had been omitted from the financial statements. 75% of lighting and heating is allocated to the factory, and 25% of lighting and heating is allocated to the offices. What was the correct cost of production? A $55500 B $56500 C $57500 D $58500

1 marks

Answer: D

This question in 0452/12 Feb/March 2025

26 Which item is included in a manufacturing account? A carriage on purchases of finished goods B depreciation of delivery vehicles C repairs of factory machinery D salaries of office supervisors

1 marks

Answer: C

This question in 0452/11 May/June 2025

27 A manufacturing business calculated the following amounts for the year ended 30 April 2025. item $ prime cost 360 000 factory overheads 114 850 work in progress at 30 April 2025 7940 purchase of finished products 1100 Work in progress at 30 April 2024 was $8990. What is the production cost of goods completed for the year ended 30 April 2025? A $361050 B $474800 C $475900 D $477000

1 marks

Answer: C

This question in 0452/12 May/June 2025

28 Which items are included in the calculation of prime cost in a manufacturing account? A direct and indirect costs B direct materials cost and direct labour cost only C direct materials cost only D direct production costs only

1 marks

Answer: D

This question in 0452/12 May/June 2025

29 A manufacturer’s work in progress at the start of the year was valued at $850. At the end of the year it was valued at $10 200. What was the effect of this increase on the cost of production and the cost of sales? cost of production cost of sales A decrease decrease B decrease increase C increase decrease D increase increase

1 marks

Answer: A

This question in 0452/12 May/June 2025

26 Which item is included in a manufacturing account? A carriage on purchases of finished goods B depreciation of delivery vehicles C repairs of factory machinery D salaries of office supervisors

1 marks

Answer: C

This question in 0452/13 May/June 2025

28 A manufacturing business provided the following information. $ prime cost 236000 factory overheads 42000 opening work in progress 8000 closing work in progress 6000 What was the factory cost of production transferred to the income statement? A $234 000 B $238 000 C $276 000 D $280 000

1 marks

Answer: D

This question in 0452/12 Oct/Nov 2025

28 The following amounts relate to a manufacturing business for the year ended 30 September 2025. item $ prime cost 355000 factory overheads 114 850 total production cost of 475000 finished goods inventory of raw materials 4200 at 30 September 2025 inventory of finished products 1 100 at 30 September 2025 Work in progress at 30 September 2024 was $9990. What was the total inventory of the business at 30 September 2025? A $4840 B $5150 C $5300 D $10140

1 marks

Answer: D

This question in 0452/13 Oct/Nov 2025

29 A manufacturing account and income statement are being prepared for a business that makes chairs and desks for schools. The business pays wages to the following employees. 1 the carpenters who make the chairs and desks 2 the cleaner who cleans the offices of the accounts and sales staff 3 the lorry driver who delivers the finished chairs and desks to schools 4 the supervisor in charge of the carpenters Which wages will be included as an expense in the income statement? A 1 and 2 B 1 and 4 C 2 and 3 D 2 and 4

1 marks

Answer: C

This question in 0452/13 Oct/Nov 2025