[amp_mcq option1=”weighted analysis” option2=”average analysis” option3=”significance analysis” option4=”specification analysis” correct=”option3″]
Costing
32. “BDL Ltd. is currently preparing its cash budget for the year to 31 March 20XX. An extract from its sales budget for the same year shows the following sales values. Rs March 60,000 April 70,000 May 55,000 June 65,000 40% of its sales are expected to be for cash. Of its credit sales, 70% are expected to pay in month after sale and take a 2% discount. 27% are expected to pay in the second month after the sale, and the remaining 3% are expected to be bad debts. The value of sales budget to be shown in the cash budget for May 20XX is”
[amp_mcq option1=”Rs. 60,532″ option2=”Rs. 61,120″ option3=”Rs. 66,532″ option4=”Rs. 86,620″ correct=”option1″]
33. Profit forgone by capital investment in inventory rather than investment of capital to somewhere else is classified as
[amp_mcq option1=”relevant purchase order costs” option2=”relevant inventory carrying costs” option3=”irrelevant inventory carrying costs” option4=”relevant opportunity cost of capital” correct=”option4″]
34. EOQ is computed by:
[amp_mcq option1=”$$\frac{{2D}}{{Ci}}$$” option2=”$$\frac{{Ci}}{{100}}$$” option3=”$$\sqrt {\frac{{2D{C_0}}}{{Ci}}} $$” option4=”$$\frac{D}{{100}}$$” correct=”option3″]
35. Significant non-cash transactions are included in
[amp_mcq option1=”cash flow from operating activities” option2=”cash flow from investing activities” option3=”cash flow from financing activities” option4=”None of the above” correct=”option4″]
Detailed SolutionSignificant non-cash transactions are included in
36. . . . . . . . . process loss should be transferred to costing profit & loss account.
[amp_mcq option1=”abnormal” option2=”normal” option3=”Both A and B” option4=”None of these” correct=”option1″]
37. Classification of cost is useful ________.
[amp_mcq option1=”to find gross profit” option2=”to find net profit” option3=”to identify costs” option4=”to identify efficiency” correct=”option3″]
38. Difference between attendance time and job time is _______.
[amp_mcq option1=”job time” option2=”over time” option3=”actual time” option4=”idle time” correct=”option4″]
Detailed SolutionDifference between attendance time and job time is _______.
39. Material price variance is the difference between standard and actual prices of materials used multiplied by . . . . . . . .
[amp_mcq option1=”Actual quantity of materials used” option2=”Budgeted quantity of materials used” option3=”Standard quantity of materials used” option4=”Either A or B” correct=”option1″]
40. Over time is ________.
[amp_mcq option1=”actual hours being more than normal time” option2=”actual hours being more than standard time” option3=”standard hours being more than actual hours” option4=”actual hours being less than standard time” correct=”option1″]