COSTING MCQ TEST

Which of the following is considered as normal loss of material?

• Pilferage

• Loss due to accident

• Loss due to careless handling of material

• None of the Above

Normal Idle time cost shall be assigned to:

• Employee Cost

• Overhead

• Any one of above a or b

• None of the Above

Warehouse expense is an example of

• Production overhead

• Selling overhead

• Distribution overhead

• None of above

Packing material cost deals by :

• CAS 9

• CAS 10

• CAS 11

• CAS 12

When Reconciliation start with cost accounts profit, the under charges of depreciation in Cost A/Cs to be

• Added with Cost Accounts profit

• Added with Financial Accounts profit

• No Adjustment is required

• Deducted from Cost Accounts profit

A job is budgeted to require 3,300 productive hours after incurring 25% idle time. If the total labour cost budgeted for the job is ` 36,300, what is the labour cost per hour? 1

• 8.25

• 8.80

• 11.00

• 14.67

Contract number 145 commenced on 1st March and plant from central stores was delivered to the site. The book value of the plant delivered was ` 420,000. On 1 July further plant was delivered with a book value of ` 30,000. Company policy is to depreciate all plant at a rate of 20% of the book value each year. The depreciation to be charged to contract number 145 for the year ending 31 December is;

• 37000

• 57000

• 73000

• 89000

The following information is available for SM Co for last month. Conversion costs `105,280 Completed during the period 18,000 units Closing work in progress 2,000 units (40% complete as to conversion costs) The conversion cost per unit of production is;

• 6.50

• 5.60

• 7.20

• 5.90

In Transport Companies, Cost of diesel and lubricants is an example of:

• Operating Cost

• Fixed Charges

• Semi Variable

• None of the above

Cost units used in power sector is:

• Kilo Meter

• Kilowatt Hour

• Number of Electric Points

• Number of Hours