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WorksheetsAAT L2 Costing 03 Cost Centres and Overhead Absorption
Total questions: 15
Worksheet time: 17mins
Which cost is associated with - Profit centre
Selling and marketing the products in a retail shop
Mixing, filling and packing the sausages
Storage in freezers in the warehouse
Identify the Tax cost centre
Payroll software for paying salaries and wages
Annual purchase of software updated for the year's finance act for the tax advisors
Subscription to an audit advice helpline
Farm Ltd processes bacon and other meat products. It has a factory warehouse and a shop which sells the products. Look at the costs below and match them to Production cost centre.
Selling and marketing the products in the retail shop.
Mixing, filing and packing the sausages.
Storage in freezers in the warehouse
Farm Ltd processes bacon and other meat products. It has a factory warehouse and a shop which sells the products. Look at the costs below and match them to Profit centre.
Selling and marketing the products in the retail shop.
Mixing, filing and packing the sausages.
Storage in freezers in the warehouse
Which statements are true?
Profit centre is a section of the organisation to which costs can be charged, income can be identified and profits can be calculated.
Investment centre is a section in a business which does not process the costs, but income can be identified and investment can be measured.
Absorption means incorporating indirect costs (overheads) into costs of units of output.
OAR Overhead absorption rate is used to absorb overheads into products or services.
Methods of absorption used in businesses include:
units of output method
alpha-numeric method
direct labour hours method
machine hours method
investment method
Which is the 'units of output' method of absorption?
a method (OAR) of absorption rate based on absorbing overheads into products or services.
a method of absorption based on dividing budgeted overheads by budgeted number of units to provide an overhead absorption rate per unit.
a method of absorption based on dividing budgeted overheads by budgeted direct labour hours to provide an overhead absorption rate per direct labour hour.
a method of absorption based on dividing budgeted overheads by budgeted machine hours to provide an overhead absorption rate per machine hour.
Which is the 'machine hours' method of absorption?
a method (OAR) of absorption rate based on absorbing overheads into products or services.
a method of absorption based on dividing budgeted overheads by budgeted number of units to provide an overhead absorption rate per unit.
a method of absorption based on dividing budgeted overheads by budgeted direct labour hours to provide an overhead absorption rate per direct labour hour.
a method of absorption based on dividing budgeted overheads by budgeted machine hours to provide an overhead absorption rate per machine hour.
Which is the 'direct labour hours' method of absorption?
a method (OAR) of absorption rate based on absorbing overheads into products or services.
a method of absorption based on dividing budgeted overheads by budgeted number of units to provide an overhead absorption rate per unit.
a method of absorption based on dividing budgeted overheads by budgeted direct labour hours to provide an overhead absorption rate per direct labour hour.
a method of absorption based on dividing budgeted overheads by budgeted machine hours to provide an overhead absorption rate per machine hour.
(Embed H&S)
COSHH signs are usually which colour?
red and white
blue and white
green and white
orange and black
(Embed Equality and Diversity)
Chris has always worn his crucifix to work but the company has changed its uniform regulations. This means that staff cannot wear jewellery at work, including Chris' crucifix. Chris is now facing disciplinary action if he does not stop wearing his crucifix.
This is Indirect discrimination.
This is Direct discrimination.
This is Positive discrimination.
(Embed British Values & Prevent)
What is meant by Democracy?
Everyone is treated the same
Freedom to do what you want
Freedom of speech and equality between people
No freedom of speech
(Embed Safeguarding)
What is a DBS check
Doing bad Stuff check
Disclosure and barring service check
Disclosure and bad service check
Deep blue sea check
(Embed Maths)
What type of graph/chart is this?
Bar Graph
Line Graph
Pie Chart
Infographic
(embed English)
Which is not an example of past tense?
She requested more food.
She is receiving her refund.
She stated she was leaving.
She received her refund.
