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c) Cash outlays
d) Losses
9. Total variable cost change .. With change in output
a) Constantly
b) Not proportionately
c) Proportionately
10. Fixed cost per unit . With increase in output
a)
b)
c)
d)
Increases
Not increase
Reduces
Not decrease
Variable
Semi variable
Fixed
None of the above
Management
Out siders
Employees
Owners
13. The cost that can be identified with a cost until is called ..
a)
b)
c)
d)
Direct cost
Overhead
Indirect
Cost of production
Period cost
Opportunity cost
Sunk cost
Marginal costing
Period cost
Opportunity cost
Sunk cost
Marginal cost
a)
b)
c)
d)
Per
Per
Per
Per
tone
cost
meter
cubic foot
Auto mobile
Quarries
Transport service
Electricity
18. Direct labour costs would includes wages paid to all the following except
a)
b)
c)
d)
Machine operators
Assembly line workers
Janitors
Brick layers
19. Indirect labour costs would include wages paid to the following except
a)
b)
c)
d)
Machine operators
Material handlers
Store keepers
Fork lift operators
It
It
It
It
Manufacturing cost
Administration cost
Selling and distribution cost
Factory overhead
b) Actual costing
c) Notional costing
45. Costing is a technique of
a) Inventory control
b) Calculation of cost
c) Ascertainment of cost
46. .. Costing is used in transport costing
a) Operating
b) Standard
c) Marginal
47. Depreciation is a .. Expense
a) Fixed
b) Variable
c) Semi variable
48. .. Cost per unit does not change with change in activity level
a) Overhead
b) Variable
c) Fixed
49. Telephone expense is a . Expense
a) Fixed
b) Variable
c) Semi variable
50. Cost accounting is the art, science and cost of accountant
a) Profession
b) Management
c) Administration
51. . May be a location, a person, or an item of equipment or
group of there
a) Cost centre
b) Cost unit
c) Profit centre
52. . Is defined on the guidance and regulation by executive
action of cost operating and under taking
a. Cost reduction
b. Cost control
c. Cost estimation
53. is the cost incurred in the part has no effect on future decision
making
a) Sunk cost
b) Historical cost
c) Imputed cost
a) Sunk cost
b) Imputed cost
c) Opportunity cost
64. When material prices fluctuate widely the method of pricing that gives a
best result in
a) Simple average
b) Weighted average
c) FIFO
65. Which of the following is considered to be a normal loss of material
a) Loss due to accident
b) Loss due to breaking of bulk material
c) Loss due to careless handling
66. Store keeper should initiate a purchase requisition when stock reacher
a) Minimum level
b) Maximum level
c) Re order level
67. Goods received note is prepared by ..
a) Goods received clerk
b) Purchase manager
c) Store keeper
68. . Is a discount allowed to the bulk purchase
a) Trade discount
b) Cash discount
c) Bad debt
69. Buffer stock of material means ..
a) Maximum stock of material
b) Minimum stock of material
c) Average stock of material
70. A written request to a supplier for specified goods at an agreed rate
a) Purchase order
b) Purchase requisition
c) Receiving report
71. Surprise physical checking is a feature of
a) Perpetual inventory system
b) ABC analysis
c) Impress system
72. A purchase requisition is raised
a) To ultimate to the supplier the quantity and quality of new
material required
b) When the stock of raw material has follow to the re order level
c) When goods are received from a supplier
a)
b)
c)
95. Carrying costs are otherwise called
a) Ordering costs
b) Holding costs
c) out of stock cost
96. is a complete list of all materials component required
a job
a) Purchase requisition
b) Bill of materials
c) Purchase order
97. Surprise physical checking is a feature of
a) Perpetual inventory system
b) ABC analysis
c) Imprested system
for
c) Bin card
104. . Will lead to unnecessary blocking of working capital
a) Over stocking
b) Under stocking
c) Minimum stocking
105. . Is an authorization to the store keeper to issue raw
material
a) Purchase order
b) Purchase requisition
c) Material requisition note
106. .. Is the second major element of cost
a) Labour
b) Material
c) Over head
107. In which of the following method of wage payment , wages on time basis
are not guaranteed
a) Halsey plan
b) Rowan plan
c) Taylors differential piece rate system
108. Which of the following method of wage payment is most suitable where
quality and accuracy of work of primary importance
a) Piece rate system
b) Time rate system
c) Halsey plan
109. The time worked by a worker is prepared by
a) Time keeping dept.
b) Personal dept.
c) Payroll dept.
110. Preventive cost and are two types of labour turn over
a) Ordering cost
b) Replacement cost
c) Carrying cost
111. are prepared to know the reason of idle time
a) Idle time card
b) Time card
c) Cost card
112. Under time wage system, wages are paid according to the
a) Time recorded
b) Time worked
c) Idle time
113. method of wage payment provides for high rate to efficient
workers
a) Taylors differential piece rate system
b) Gants task piece rate system
c) Taylor plan
124. Work of forman, store keeper, inspector, and production control
staff come under
a) Direct labour
b) Indirect labour
c) Factory labour
125. In .. System two piece rates are set for each job
a) Taylors differential piece rate system
b) Merrick plan
c) Rowan
126. Under Merricks plan,no bonus, is payable to a worker if his efficiency is
less than
a) 83%
b) Above 83%
c) Above 70%
127. Idle time arises only when workers are paid on .. Basis
a) Time rate
b) Piece rate
c) Premium plan
128. Overtime due to abnormal causes may be transferred to
a) The job
b) Costing p & l a/c
c) Overhead account
129. Cost of the normal idle time is charged to production at the .
Rate
a) Market
b) Inflated
c) Deflated
130. Loss of time due to avoidable reason is known as
a) Normal idle time
b) Abnormal idle time
c) Overtime
131. Time lost in the course of normal activity is known as
a) Idle time
b) Abnormal idle time
c) Over time
d) Normal idle time
132. Where there are separate cost and financial accounts the problem of
arise
a) Accounting
b) Reconciliation
c) Vouching
a) Absorption
b) Under absorption
c) Over absorption
153. The cost which is incurred for the benefit of a number of cost centre
a) Joint cost
b) over head
c) Direct cost
154. Variable overhead remain
a) Fixed per unit
b) Variable per unit with volume
c) Fixed for any level of output
155. The allotment of whole item of cost to the centre or cost unit is called
a) Appointment
b) Allocation
c) Absorption
156. Absorption means .
a) Charging of overheads to cost sheet
b) Charging of overheads to cost units
c) Charging of overheads to cost units or cost centres
157. Which of the following is most likely to be an allocated production
overhead cost to the finishing centre
a) Factory rates
b) Salary of the production manager
c) salary of finishing cost centre supervisor
d) Power used on finishing cost centre machines
158. Apportionment of overhead cost may be defined as
a) Charge to cost centre of
an overhead cost item with no
estimation.
b) Charge each cost centre with a share of an overhead cost using
an appropriate basis to estimate the benefit extracted by each
cost centre .
c) Charge to cost units for the use of an overhead costs
d) Classification of over head cost or fixed or variable
159. Which of the following is an illustration of reciprocal service costs?
a) The maintenance cost centers uses 10% of the power generating
cost centre cost and the power generating cost uses 15% of the
maintenance cost centre
b) Maintenance costs are charged to the power generating cost
Centre which are then charged to the production cost centre
Using power
c) Service cost centre costs are caused because of the requirements
of production cost centers
b) Fixed
c) Semi variable
169.
Compensation to salesman is a _______ expenses
a) Semi variable
b) Variable
c) Fixed
170.
Factory power is a ______________expense
a) Fixed
b) Variable
c) Semi variable
171.
Delivery van expenses is a ______________expense
a) Variable
b) Semi variable
c) Fixed
172.
Experimental expenses to develop a product
a) Fixed
b) Variable
c) Semi variable
173.
Apportionment of rent and rates are done on the basis
of___________
a) No. of workers
b) Floor area
c) Wages
174.
Machine hour rate is the calculation of running a machine per
a) Year
b) Day
c) Hour
175.
Store services expenses is apportioned on the basis of]
a) Wages of each department
b) No. of female employees
c) Value of material consumed
176.
Wage sheet is prepared by
a) Personnel department
b) Payroll department
c) Cost accounting department
177.
The most suitable method of wage payment where the speed of
production is beyond the control of worker
a) Time rate method
b) Piece rate method
c) Rowan premium plan
178.
For reducing the cost per unit which of the following factors is
most important
a) Low wage rate
b) Higher input output rate
187.
______________charge of depreciation in cost account is deducted
from costing profit while reconciling with financial profits
a) Under
b) Over
c) Fixed
188.
________________reward not only the direct workers, but also the
indirect workers who assist the direct workers
a) Halsey scheme
b) Rowan scheme
c) Group bonus scheme
189.
Group bonus is divided among the workers of the group in
proportion to the __________by them
a) Hours worked
b) Rate per hour
c) Basic wage earned
190.
_____________scheme creates team spirit which in turn leads to
high output
a) Time rate
b) Piece rate
c) Group bonus
191.
_____________plan provide more wages to workers
a) Time rate
b) Rowan plan
c) Halsey plan
192.
Daily time sheets should be signed by _____________
a) Production manager
b) Purchase manager
c) Foreman
193.
The card given to a worker where workers are paid on piece basis
in
a) Job card
b) Time card
c) Piece work card
194.
The time taken for personnel needs and tea breaks is ________
time
a) Abnormal idle time
b) Normal idle time
c) None of them
195.
The time wasted due to strikes or lockouts in the factory
a) Abnormal idle time
b) Normal idle time
c) None of them
196.
______________ card prepared to know the responsible for idle time
a) Job card
21.
22.
23.
24.
25.
26.
27.
28.
29.
30.
31.
32.
33.
34.
35.
36.
37.
38.
39.
40.
c
d
b
c
a
c
c
b
b
c
b
b
b
b
c
a
a
c
b
c
41.
42.
43.
44.
45.
46.
47.
48.
49.
50.
51.
52.
53.
54.
55.
56.
57.
58.
59.
60.
b
a
a
b
c
a
c
b
c
a
a
b
a
a
b
b
b
b
b
a
61. b
62. a
63. b
64. b
65. b
66. c
67. c
68. a
69. b
70. a
71. a
72. b
73. a
74. a
75. b
76. b
77. b
78. b
79. a
80. b
81. a
82. a
83. a
84. b
85. b
86. a
87. b
88. b
89. a
90. c
91. c
92. b
93. c
94. a
95. b
96. b
97. a
98. a
99. b
100.
101.
102.
103.
104.
c
b
a
b
a
105.
106.
107.
108.
109.
110.
111.
112.
113.
114.
115.
116.
117.
118.
119.
120.
121.
122.
123.
124.
125.
126.
127.
128.
129.
130.
131.
132.
133.
134.
135.
136.
137.
138.
139.
140.
141.
142.
143.
144.
145.
146.
147.
148.
c
a
c
b
a
b
a
a
a
b
c
b
a
a
b
a
c
c
b
c
a
a
a
b
b
a
d
b
a
a
a
a
c
a
a
b
c
a
a
a
a
b
b
b
149.
150.
151.
152.
153.
154.
155.
156.
157.
158.
159.
160.
161.
162.
c
163.
c
164.
c
165.
a
166.
c
167.
a
168.
a
169.
b
170.
a
171.
a
172.
b
173.
c
174.
c
175.
b
176.
a
b
a
a
c
b
a
b
c
b
b
a
c
c
163.
164.
165.
166.
167.
168.
169.
170.
171.
172.
173.
174.
175.
176.
177.
177.
b
178.
a
179.
b
180.
c
181.
b
182.
b
183.
b
184.
a
185.
b
186.
a
187.
c
188.
c
189.
c
190.
b
191.
c
192.
c
193.
b
194.
a
195.
c
196.
b
197.
b
198.
b
178.
179.
180.
181.
182.
183.
184.
185.
186.
187.
188.
190.
191.
192.
193.
194.
195.
196.
197.
198.
199.
200.
199.
200.
201.
202.
203.
204.