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WorksheetsJob costing
Total questions: 12
Worksheet time: 6mins
Do you need a job card in job costing process?
Yes
No
What is the best description of job costing?
used when a product of one process becomes the material of another
used in areas such as hotels, transport and entertainment where an actual product is not made
used to determine a break-even point
used when work consists of different products each time, made to meet customer's specific needs
Material costs in job costing must all come from the same department. True or False?
True
False
What items of expenditure go together to make up the PRIME COST?
Materials only
Labour only
Both materials and labour
Materials, labour and overheads
How do you convert a profit margin % to a profit mark-up %?
Profit Margin % / (100 - Profit Margin %)
100% / Profit Margin %
(Profit Margin % - 100%) / Profit Margin %
(100% - Profit Margin %) / 100%
There are two ways of expressing profit. Which one is being described here?
Expressed as a % of cost of job
Profit mark-up
Profit margin
There are two ways of expressing profit. Which one is being described here?
Expressed as a % of the selling price
Profit mark-up
Profit margin
True or False?
A company will always turn down a job which will not generate any profit.
True
False
True or False?
Except when a factory-wide method of recovery is used, overheads are applied by each department using their own method e.g. machine hours or labour hours
True
False
