Costing

31. Which of the following is incorrect for material variances?

MCV = (SQ × SP) - (AQ × AP)
MPV = AQ(SP - AP)
MUV = AP(SQ - AQ)
MYV = SC per unit (AY - SY)

Detailed SolutionWhich of the following is incorrect for material variances?

32. When cash is received from contractee which a/c should be credited.

Cash a/c
Contract a/c
Contractor a/c
Contractee a/c

Detailed Solution

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class="screen-reader-text">When cash is received from contractee which a/c should be credited.

33. The profit volume ratio of an enterprise is 40%.To offset a 10% decrease in the selling price, by how much should the sale increase?

10%
20%
25%
40%

Detailed SolutionThe profit volume ratio of an

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23.7 24.8 41.5 48.3 47.8C117.2 448 288 448 288 448s170.8 0 213.4-11.5c23.5-6.3 42-24.2 48.3-47.8 11.4-42.9 11.4-132.3 11.4-132.3s0-89.4-11.4-132.3zm-317.5 213.5V175.2l142.7 81.2-142.7 81.2z"/> Subscribe on YouTube
enterprise is 40%.To offset a 10% decrease in the selling price, by how much should the sale increase?

34. Maintenance charges are in the nature of . . . . . . . . expenses.

Fixed
Variable
Semi-variable
None of these

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. expenses." class="read-more button" href="https://exam.pscnotes.com/mcq/maintenance-charges-are-in-the-nature-of-expenses/#more-52103">Detailed SolutionMaintenance charges are in the nature of . . . . . . . . expenses.

35. The type of process loss that should not affect the cost of inventory value is _________.

abnormal loss
normal loss
seasonal loss
standard loss

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the cost of inventory value is _________." class="read-more button" href="https://exam.pscnotes.com/mcq/the-type-of-process-loss-that-should-not-affect-the-cost-of-inventory-value-is-_________/#more-52075">Detailed SolutionThe type of process loss that should not affect the cost of inventory value is _________.

36. Work measurement method of cost estimation is also called

price engineering method
industrial engineering method
measuring engineering method
unit engineering method

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class="read-more button" href="https://exam.pscnotes.com/mcq/work-measurement-method-of-cost-estimation-is-also-called/#more-52070">Detailed SolutionWork measurement method of cost estimation is also called

37. During the period of rising prices, higher profits can be shown by valuing stock at:

L.I.F.O. basis
F.I.F.O. basis
Simple average price
Weighted average price

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can be shown by valuing stock at:" class="read-more button" href="https://exam.pscnotes.com/mcq/during-the-period-of-rising-prices-higher-profits-can-be-shown-by-valuing-stock-at/#more-52062">Detailed SolutionDuring the period of rising prices, higher profits can be shown by valuing stock at:

38. In goods transport service the cost unit is ________.

cost per ton
cost per hour
cost per ton kilo meters
cost per vehicle

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href="https://www.youtube.com/channel/UCNHT8lW-JmLC68rjBfZhdkg?sub_confirmation=1" target="_blank" class="youtube-subscribe-button"> Subscribe on YouTube service the cost unit is ________." class="read-more button" href="https://exam.pscnotes.com/mcq/in-goods-transport-service-the-cost-unit-is-________/#more-52005">Detailed SolutionIn goods transport service the cost unit is ________.

39. Sunk costs are:

relevant for decision making
Not relevant for decision making
cost to be incurred in future
future costs

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title="Sunk costs are:" class="read-more button" href="https://exam.pscnotes.com/mcq/sunk-costs-are/#more-51985">Detailed SolutionSunk costs are:

40. Type of spoilage, which is considered as controllable and can be avoided is called

abnormal spoilage
normal spoilage
transferred-in spoilage
transferred-out spoilage

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button" href="https://exam.pscnotes.com/mcq/type-of-spoilage-which-is-considered-as-controllable-and-can-be-avoided-is-called/#more-51959">Detailed SolutionType of spoilage, which is considered as controllable and can be avoided is called

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