[amp_mcq option1=”cost sheet” option2=”profit and loss a/c” option3=”trading a/c” option4=”separate ledger a/c” correct=”option1″]
Detailed SolutionCost of contract and profit or loss thereon are determined by preparing ________.
Costing
22. If the beginning balance in raw materials inventory is Rs. 5,000, the ending balance is Rs. 3,500 and material of Rs. 60,000 was purchased, what is the amount of materials transferred to work-in-processinventory during the period?
[amp_mcq option1=”Rs. 58,500″ option2=”Rs. 60,000″ option3=”Rs. 61,500″ option4=”Rs. 68,500″ correct=”option1″]
23. Which of the following affects the flow of funds?
[amp_mcq option1=”A transaction affecting both current account” option2=”A transaction affecting both non-current account” option3=”A transaction affecting current and non-current account” option4=”None of the above” correct=”option3″]
Detailed SolutionWhich of the following affects the flow of funds?
24. ___________ is the value of economic resources used as a result of producing or doing the thing costed.
[amp_mcq option1=”Cost” option2=”Inventory” option3=”Labour” option4=”overhead” correct=”option3″]
25. Contract a/c is _______.
[amp_mcq option1=”a nominal a/c” option2=”a real a/c” option3=”a personal a/c” option4=”either nominal or real a/c” correct=”option1″]
26. If budget sales units are 2000, an ending inventory is 3000 units and beginning inventory is 1000, then budget production would be
[amp_mcq option1=”6000 units” option2=”4000 units” option3=”no units” option4=”8000 units” correct=”option2″]
27. From the following two statements of Assertion (A) and Reason (R). Indicate the correct option. Assertion (A) From the marginal costing approach point of view, the marginal cost is compared with the purchase price. Reason (R) If the marginal cost is less than the purchase price, it should be purchased rather than manufactured.
[amp_mcq option1=”Both (A) and (R) are correct” option2=”(A) is correct, but (R) is not correct” option3=”(A) is not correct, but (R) is correct” option4=”Both (A) and (R) are incorrect” correct=”option1″]
28. Which of the following statements relating to incentive payments is correct?
[amp_mcq option1=”In Halsey incentive plan, bonus paid to a worker is equal to 50% of the time saved, divided by the rate per hour” option2=”In Rowan incentive plan, bonus paid to the employee is equal to the proportion of the time saved to the standard time” option3=”In Taylor’s differential piece rate system, a worker whose output exceeds standard output is paid 100% of piece rate, and a worker whose output falls short of the standard is paid only 50% of piece rate” option4=”The Rowan incentive plan is the base of all other incentive payment plans” correct=”option2″]
Detailed SolutionWhich of the following statements relating to incentive payments is correct?
29. A helpful technique, for accurate forecasts about costs to be incurred in future is a part of
[amp_mcq option1=”unit estimation” option2=”production estimation” option3=”cost estimation” option4=”price estimation” correct=”option3″]
30. Plan of action; how an organization meets its opportunities and capabilities is classified as
[amp_mcq option1=”action plan” option2=”strategy” option3=”step wise plan” option4=”complex plan” correct=”option1″]