[amp_mcq option1=”material, labour” option2=”set-up costs, carrying” option3=”transportation, carrying” option4=”warehousing, labour” correct=”option2″]
Detailed SolutionEconomic Batch Quantity depends on . . . . . . . . and . . . . . . . . costs.
Costing
32. An increase in fixed costs will result, in which of the following?
[amp_mcq option1=”A decrease in the contribution sales ratio” option2=”A decrease in the contribution per point” option3=”An increase in the break-even point sales level” option4=”An increase in the margin of safety” correct=”option3″]
Detailed SolutionAn increase in fixed costs will result, in which of the following?
33. Packing cost is ________.
[amp_mcq option1=”production cost” option2=”selling cost” option3=”administration cost” option4=”distribution cost” correct=”option1″]
34. Success of cost reduction initiatives are evaluated by accurate
[amp_mcq option1=”cyclical factors” option2=”indexed technique” option3=”price estimation” option4=”cost estimation” correct=”option4″]
Detailed SolutionSuccess of cost reduction initiatives are evaluated by accurate
35. When the completion stage of a contract is less than $$\frac{1}{4},$$ the total expenditure on the contract is transferred to . . . . . . . . account.
[amp_mcq option1=”Work-in-progress” option2=”Profit and loss account” option3=”Miscellaneous account” option4=”None of these” correct=”option1″]
36. Match the following. List-I (Variances) List-II (Formulae) a. MCV 1. SP (RSQ – AQ) b. MPV 2. SP (SQ – AQ) c. MUV 3. AQ consumed (SP – AP) d. MMV 4. SC – AC
[amp_mcq option1=”a-4, b-3, c-2, d-1″ option2=”a-2, b-1, c-4, d-3″ option3=”a-4, b-1, c-2, d-3″ option4=”a-3, b-4, c-2, d-1″ correct=”option1″]
37. Product which requires large amount of resources, but incur low per unit cost is classified as
[amp_mcq option1=”product under costing” option2=”product over costing” option3=”expected under cost” option4=”expected over cost” correct=”option1″]
38. Cost of sales plus profit is _______.
[amp_mcq option1=”selling price” option2=”value of finished product” option3=”value of goods produced” option4=”value of stocks” correct=”option1″]
39. Departmentalization of overhead is known as ________.
[amp_mcq option1=”primary distribution” option2=”secondary distribution” option3=”absorption” option4=”allocation” correct=”option1″]
Detailed SolutionDepartmentalization of overhead is known as ________.
40. The basis for the payment of cash by contractee under contract is ________.
[amp_mcq option1=”work certified” option2=”work uncertified” option3=”contract cost” option4=”value of plant used in the contract” correct=”option1″]
Detailed SolutionThe basis for the payment of cash by contractee under contract is ________.