Costing

[amp_mcq option1=”provide lowest value of closing stock and profit” option2=”provide highest value of closing stock and profit” option3=”provide highest value of closing stock but lowest value of profit” option4=”provide highest value of profit but lowest value of closing stock” correct=”option3″]

Detailed SolutionIn case of rising prices (inflation), LIFO will:

[amp_mcq option1=”20%” option2=”25%” option3=”73%” option4=”125%” correct=”option1″]

Detailed SolutionA company manufactures a single product for which cost and selling price data are as follows: Selling price per unit – Rs 12 Variable cost per unit – Rs 8 Fixed cost for a period – Rs 98,000 Budgeted sales for a period – 30,000 units The margin of safety, expressed as a percentage of budgeted sales,is:

[amp_mcq option1=”a-2, b-1, c-3, d-4″ option2=”a-2, c-3, c-4, d-1″ option3=”a-3, b-4, c-1, d-2″ option4=”a-3, b-1, c-4, d-2″ correct=”option4″]

Detailed SolutionMatch the items of List-I with those of List-II and indicate the correct answer List-I List-II a. Acid test ratio 1. Profitability analysis b. Debt service coverage ratio 2. Activity analysis c. Debt equity ratio 3. Liquidity analysis d. Stock turnover ratio 4. Long-term solvency analysis

[amp_mcq option1=”hotels” option2=”hospitals” option3=”schools” option4=”None of these” correct=”option1″]

Detailed SolutionRoom/day is the cost unit used in . . . . . . . .

[amp_mcq option1=”the advantage foregone” option2=”the cost” option3=”the income” option4=”None of the above” correct=”option1″]

Detailed SolutionAn opportunity cost is . . . . . . . .

[amp_mcq option1=”inventory costs” option2=”product costs” option3=”non-manufacturing costs” option4=”manufacturing costs” correct=”option3″]

Detailed SolutionPeriod cost, which consists income statement of manufacturing companies belongs to

[amp_mcq option1=”source cost” option2=”sacrifice cost” option3=”treated cost” option4=”cost” correct=”option2″]

Detailed SolutionIn accounting, resources sacrifice for achieving or fulfil specific objective is known as

[amp_mcq option1=”14.00%” option2=”15.00%” option3=”10.00%” option4=”12.00%” correct=”option1″]

Detailed SolutionIf units of normal spoilage are 150 and total good units manufactured are 1500, then normal spoilage rate would be

[amp_mcq option1=”Factory cost” option2=”Production cost” option3=”Total cost” option4=”None of these” correct=”option2″]

Detailed SolutionThe sum of prime cost and factory overheads is known as which of the following form?

[amp_mcq option1=”works on cost” option2=”selling overhead” option3=”distribution overhead” option4=”administration overhead” correct=”option4″]

Detailed SolutionAudit fess is a part of _______.