Costing

31. Increase in the amount of creditors result in

decrease in cash
increase in cash
no changes in cash
None of these

Detailed SolutionIncrease in the amount of creditors result in

32. Classification and accumulation of costs by fixed and variable costs is of special importance in ________.

process costing
unit costing
operation costing
operating costing

Detailed SolutionClassification and accumulation of costs by fixed and variable costs is of special importance in ________.

33. Inventory turnover in days = Days during the period ÷ . . . . . . . .

inventory turnover ratio
material consumed during the period
cost of average stock during the period
None of these

Detailed SolutionInventory turnover in days = Days during the period ÷ . . . . . . . .

34. . . . . . . . . costing is applicable to printers.

Process
Batch
Multiple
Job

Detailed Solution. . . . . . . . costing is applicable to printers.

35. Term which describes assigning of indirect cost to any cost abject is classified as

cost allocation
sales tracing
sales allocation
cost tracing

Detailed SolutionTerm which describes assigning of indirect cost to any cost abject is classified as

36. Tender price expresses-

Total production cost
Sales cost
Estimated selling price
Cost sheet of last period

Detailed SolutionTender price expresses-

37. Determine the debtors turnover ratio if, closing debtors is Rs. 40,000, cash sale is 25% of credit sales, and excess of closing debtors over opening debtors is Rs. 20,000.

4 times
2 times
6 times
8 times

Detailed SolutionDetermine the debtors turnover ratio if, closing debtors is Rs. 40,000, cash sale is 25% of credit sales, and excess of closing debtors over opening debtors is Rs. 20,000.

38. In cost terms, direct manufacturing labour cost is included in

manufacturing costs
prime costs
conversion costs
both B and C

Detailed SolutionIn cost terms, direct manufacturing labour cost is included in

39. Planning of financial aid to coordinate; what is to be done for implementation of plan is classified as

budget
batching
complexity
process

Detailed SolutionPlanning of financial aid to coordinate; what is to be done for implementation of plan is classified as

40. Which one of following is an example of spoilage?

short lengths from wood work
defective aluminium cans recycled by manufacturer
detection of defective pieces before shipment
all of above

Detailed SolutionWhich one of following is an example of spoilage?

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