Costing

11. Defectives are that portion of production which can be . . . . . . . . at some extra cost of re-operation.

sold
rectified
purchased
None of these

Detailed SolutionDefectives are that portion of production which can be . . . . . . . . at some extra cost of re-operation.

12. . . . . . . . . is a technique of stock control which leads to saving of time of the management because attention is required to be paid only to some of the items rather than on all the items.

ABC Analysis
JIT Inventory System
VED Analysis
Perpetual Inventory System

Detailed Solution. . . . . . . . is a technique of stock control which leads to saving of time of the management because attention is required to be paid only to some of the items rather than on all the items.

13. Relationship between change in activity and change in total costs is considered as

fixed relationship
cause and effect relationship
ineffective relationship
variable relationship

Detailed SolutionRelationship between change in activity and change in total costs is considered as

14. Costs associated with the labour turnover can be categorised into:

Preventive Costs only
Replacement costs only
Both of the above
Machine costs

Detailed SolutionCosts associated with the labour turnover can be categorised into:

15. Liquidity ratios are expressed in

Pure ratio form
Percentage
Rate or time
None of the above

Detailed SolutionLiquidity ratios are expressed in

16. First step in process costing system is to

summarize flow of output
compute output in units
summarize total costs
compute cost for each equivalent unit

Detailed SolutionFirst step in process costing system is to

17. Aspects of accounting for scrap includes

physical tracking
non-inventoriable costing
inventory costing
both a and c

Detailed SolutionAspects of accounting for scrap includes

18. Material control involves ________.

consumption of material
issue of material
purchase of material
purchase, storage and issue of material

Detailed SolutionMaterial control involves ________.

19. GRN number refers to________.

goods received note number
goods returned note number
goods shortage note number
goods requisition note number

Detailed SolutionGRN number refers to________.

20. Variance, if used to alert managers before time of problem is called

varied warning
times warning
managers warning
early warning

Detailed SolutionVariance, if used to alert managers before time of problem is called

Page 1Page 2Page 3Page 4Page 5
Test 1Test 2Test 3Test 4Test 5Test 6Test 7Test 8Test 9Test 10Test 11Test 12Test 13Test 14Test 15Test 16Test 17Test 18Test 19Test 20Test 21Test 22Test 23Test 24