Costing

[amp_mcq option1=”Current ratio” option2=”Quick ratio” option3=”Liquid ratio” option4=”Debt-equity ratio” correct=”option1″]

Detailed Solution_________ is also known as working capital ratio.

[amp_mcq option1=”number of hours” option2=”number of products produced” option3=”number of workers” option4=”wages” correct=”option1″]

Detailed SolutionMachine hour rate is obtained by dividing the total running expenses of a machine during a particular period by the . . . . . . . .

[amp_mcq option1=”Ratio of return on total assets” option2=”Ratio of return of fixed assets” option3=”Ratio of return on shareholder’s equity” option4=”All of the above” correct=”option1″]

Detailed SolutionWhich of the following measures the best operating performance?

[amp_mcq option1=”manufacturing costs” option2=”prime costs” option3=”conversion costs” option4=”both B and C” correct=”option4″]

Detailed SolutionTerms used in manufacturing cost systems are

[amp_mcq option1=”3″ option2=”0.5003″ option3=”0.7003″ option4=”2″ correct=”option1″]

Detailed SolutionIf an unexplained variation is 350050 and total variation is 700505, then coefficient of determination would be

[amp_mcq option1=”The value of materials, labour and other expenses” option2=”Contract value” option3=”Percentage of profit” option4=”None of the above” correct=”option1″]

Detailed SolutionThe tier clause in contracts provides protection against possible changes to which of the following?

[amp_mcq option1=”Cash budget” option2=”Capital expenditure budget” option3=”Material budget” option4=”Both A and C” correct=”option1″]

Detailed Solution. . . . . . . . is an example of short-term budget.

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

Detailed SolutionMatch the following. List-I List-II a. Cost control purposes 1. . . . . . . . . is a predetermined cost b. Standard cost 2. Responsibility accounting fixes responsibility for . . . . . . . . c. Integrates 3. Cost accounting guides future . . . . . . . . d. Production policies 4. Budgeting system . . . . . . . . key managerial functions

[amp_mcq option1=”direct overheads” option2=”overhead costs” option3=”factory overhead” option4=”manufacturing overhead cost” correct=”option4″]

Detailed SolutionConversion cost is subtracted from direct manufacturing labour cost is to calculate the

[amp_mcq option1=”Ascertaining cost” option2=”Cost accounting” option3=”Cost control” option4=”Tax planning” correct=”option4″]

Detailed Solution. . . . . . . . is not the scope of Cost Accountancy.