Costing

21. Slope coefficient of cost function is zero because it intersects the

x-axis at one
y-axis at constant
x-axis at constant
y-axis at one

Detailed SolutionSlope coefficient of cost function is zero because it intersects the

22. Number of observations in regression analysis is considered as

degree of possibility
degree of average
degree of variance
degree of freedom

Detailed SolutionNumber of observations in regression analysis is considered as

23. The Learner index measures

Market power
Price
Price-marginal cost
None of the above

Detailed SolutionThe Learner index measures

24. Discarded material substances having some value is ________.

waste
scrap
defective
spoilage

Detailed SolutionDiscarded material substances having some value is ________.

25. Standard costing is more widely applied in . . . . . . . . industries.

process and engineering
jobbing industries
construction industry
All of these

Detailed SolutionStandard costing is more widely applied in . . . . . . . . industries.

26. Process of assigning direct or indirect cost to any cost object is known as

cost assignment
cost expectation
event assignment
probability assignment

Detailed SolutionProcess of assigning direct or indirect cost to any cost object is known as

27. Defectives ________.

cannot be rectified and made into good units
can be rectified and mad made into good units
can be a part of finished product
can be termed as spoilage

Detailed SolutionDefectives ________.

28. If the beginning balance in the raw materials inventory account for the month was Rs. 25,000, the ending balance was Rs. 22,000 and material used during the month was Rs. 1,30,000. What is the amount of materials purchased during the month?

Rs. 1,77,000
Rs. 1,30,000
Rs. 1,27,000
Rs. 1,33,000

Detailed SolutionIf the beginning balance in the raw materials inventory account for the month was Rs. 25,000, the ending balance was Rs. 22,000 and material used during the month was Rs. 1,30,000. What is the amount of materials purchased during the month?

29. Method of estimation of cost function, by making opinions and analysis about cost and cost drivers is classified as

conference method
inference method
pricing method
manufacturing method

Detailed SolutionMethod of estimation of cost function, by making opinions and analysis about cost and cost drivers is classified as

30. Which of the following is not a feature of budgetary control?

A tool for management control
An instrument of delegation and authority
An instrument for evaluating the overall performance
A statement of budget and forecasts

Detailed SolutionWhich of the following is not a feature of budgetary control?

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