Search the Assignments and Papers Here...

Management Accounting - A10

MANAGEMENT ACCOUNTING ASSIGNMENT QUESTIONS

Select The Blank
Question The short run financial plan which acts as a guide to achieve the predefined targets is known as ________.
Correct Answer Budget
Your Answer Budget

True/False
Question Direct labour hour rate method of absorption of overheads is suitable where most of the production is done by using machines.
Correct Answer False
Your Answer True

True/False
Question If the storage cost of inventory increases, then the economic order quantity also increases.
Correct Answer False
Your Answer True

True/False
Question Accounting is an art of recording, classifying & summarizing in a significant manner.
Correct Answer True
Your Answer True

True/False
Question Profitability statement indicates the amount of assets & liabilities.
Correct Answer False
Your Answer False

Multiple Choice Single Answer
Question Select the factor which can prove to be a very crucial key factor in case of an oil refinery :-
Correct Answer Supply of crude oil
Your Answer Labour

Multiple Choice Multiple Answer
Question The components of the selling and distribution cost budget are :-
Correct Answer Distribution expenses , Publicity expenditure , Salary of sales-office workers
Your Answer Distribution expenses , Publicity expenditure , Salary of shop-floor workers

Select The Blank
Question Goods purchased from A for Rs.2,020/- were passed through the sales book. The rectification of this error will result in ________.
Correct Answer Decrease in gross profit by Rs.2,020/-
Your Answer No effect on gross profit

Select The Blank
Question A ________ inventory turnover period indicates efficient utilization of material.
Correct Answer Low
Your Answer Low

Multiple Choice Multiple Answer
Question Master budget provides a basis for computing effect of changes in :-
Correct Answer Product mix of the company , Sales volume , Production facilities
Your Answer Product mix of the company , Sales volume , Production facilities , Number of competitors

Multiple Choice Multiple Answer
Question The reasons and objectives of budgets may be stated as :-
Correct Answer To aid the planning of annual operations , To communicate the organizational plans to the different departments , To motivate the managers to strive for attainment of the organizational goals
Your Answer To aid the planning of annual operations , To communicate the organizational plans to the different departments , To motivate the managers to strive for their promotions

Select The Blank
Question The final result disclosed by Profit & Loss Account is the ________ profit after taxes earned by the organization.
Correct Answer Net
Your Answer Net

Match The Following
Question Correct Answer Your Answer
Transport facilities to employees Preventive cost of labour turnover Preventive cost of labour turnover
Relationship between supervisor and worker Avoidable cause of labour turnover Avoidable cause of labour turnover
Dismissal of employee Unavoidable cause of labour turnover Unavoidable cause of labour turnover
Increased spoilage and defectives Replacement cost of labour turnover Replacement cost of labour turnover

Multiple Choice Multiple Answer
Question Actual costs determined on the basis of costing records maintained have following limitations :-
Correct Answer No practical utility from control point of view , No practical utility for price fixation , Expensive
Your Answer No practical utility from control point of view , No practical utility for price fixation , Expensive

Multiple Choice Multiple Answer
Question These are the methods of measuring labour turnover :-
Correct Answer Replacement Method , Separation Method , Flux Method
Your Answer Replacement Method , Separation Method , Flux Method

True/False
Question The process of accounting split into three steams i.e. financial, cost, management accounting.
Correct Answer True
Your Answer True

Select The Blank
Question A trading concern will have only ________ overheads and selling overheads.
Correct Answer Administration
Your Answer Distribution

Multiple Choice Single Answer
Question The profit volume ratio of X Ltd. is 50% and the margin of safety to sales ratio is 40%. You are required to calculate the net profit if sale volume is Rs.100,000/-
Correct Answer Rs.20,000/-
Your Answer Rs.40,000/-

True/False
Question 1) Financial statements are basically in two forms i.e. profitability statement and balance sheet.
Correct Answer True
Your Answer True

Multiple Choice Multiple Answer
Question A company produces 2.50 units of a product from one kg of raw material, which is purchased at Rs.60/- per kg. The handling cost is Rs.360/- and freight is Rs.390/- per order. The incremental carrying cost of raw material is Re.0.50 per kg per month. In addition, the cost of working capital finance on the investment in inventory of raw materials is Rs.9/- per kg per annum. The annual production of the product is 100,000 units. Select the statements which are true for this problem.
Correct Answer 20 orders should be placed in a year , Economic order quantity is 2,000 kg , Storage cost is Rs.15/- per kg
Your Answer Economic order quantity is 2,000 kg , Storage cost is Rs.15/- per kg , 50 orders should be placed in a year

True/False
Question Financial Accounting discloses the financial performance & financial statements of the business as a whole.
Correct Answer True
Your Answer True

Select The Blank
Question Graphically, fixed cost line will be ________ the 'x-axis'.
Correct Answer Parallel to
Your Answer Parallel to

Multiple Choice Single Answer
Question A business's telephone bill should normally be classified into which one of the following categories?
Correct Answer Semi-variable cost
Your Answer Variable cost

Select The Blank
Question Under Differential Time Rate method payment is made at Rs. 1.40 per hour when the level of efficiency is between________.
Correct Answer 90% to 100%
Your Answer 90% to 100%

True/False
Question Balance sheet indicates the expenditure & income from the business.
Correct Answer False
Your Answer False

Select The Blank
Question The systematic process of identifying and reporting variance is known as ________.
Correct Answer Variance analysis
Your Answer Standard costing

Multiple Choice Single Answer
Question If the quantity of material purchased and quantity used are different, then which quantity should be used to compute the material price variance?
Correct Answer Quantity of material purchased
Your Answer Quantity of material purchased

Multiple Choice Multiple Answer
Question Essentials for effective implementation of budgetary control system are :-
Correct Answer Commitment of top management , Clearly defined objectives , Continuous budget education
Your Answer Commitment of top management , Clearly defined objectives , Continuous budget education

Select The Blank
Question The sources which have been used by an organization to raise funds indicate ________for the organization.
Correct Answer A liability
Your Answer A source of income

True/False
Question Differential cost analysis is incorporated in the cost books.
Correct Answer False
Your Answer False

Multiple Choice Multiple Answer
Question Piece rate systems are very useful in the following circumstances:-
Correct Answer Units of output are measurable , Job is standardized , The flow of work is regular
Your Answer Units of output are measurable , Job is standardized , The flow of work is regular

Multiple Choice Multiple Answer
Question Identify the causes due to which the cost of labour may be high :-
Correct Answer Excess staffing , Lack of experienced and efficient personnel , High labour turnover
Your Answer Excess staffing , Lack of experienced and efficient personnel , High labour turnover

Multiple Choice Multiple Answer
Question Which of the following transactions should be excluded while preparing a cost sheet?
Correct Answer Interest on loan , Bad debts , Expenses on criminal law suit
Your Answer Sale of scrap material , Interest on loan , Bad debts

Multiple Choice Single Answer
Question If the proprietor has taken away goods worth Rs.5,500/- for personal use, find its impact on the proprietor's account in the organization.
Correct Answer The capital will decrease by Rs.5,500/-
Your Answer The balance of drawings account will increase by Rs.5,500/-

Match The Following
Question Correct Answer Your Answer
Balance-sheet Financial status Financial status
Book-Keeping Books of Accounts Books of Accounts
Financial statement Profitability statement & Balance-sheet Profitability statement & Balance-sheet
Accounting Process of analyzing & interpretation Process of analyzing & interpretation
Profitability statement Indicates the amount of profit earned Indicates the amount of profit earned

Multiple Choice Multiple Answer
Question If you are required to enforce uniform costing system in your industry, how would you proceed?
Correct Answer Collecting data from all units of your industry , Ensuring that the data collected is complete and correct , Maintaining secrecy of the data collected
Your Answer Collecting data from all units of your industry , Ensuring that the data collected is complete and correct , Maintaining secrecy of the data collected , Allowing free access to all the units to the collected data

True/False
Question In case the standards are too difficult to achieve, they will provide additional incentive for improvement.
Correct Answer False
Your Answer True

Multiple Choice Single Answer
Question Purchased 200 shares of Bharat Forge Ltd. for Rs.850/- per share, which account should be debited?
Correct Answer Investment account - Rs.170,000/-
Your Answer Cash account - Rs.170,000/-

Multiple Choice Single Answer
Question Which of the following is a correct definition of the key factor?
Correct Answer The factor which limits the activities of the undertaking
Your Answer The factor which maximized sales

True/False
Question Accounting refers to the process of analyzing & interpreting the information already recorded in the books of accounts.
Correct Answer True
Your Answer True

True/False
Question A journal entry is passed for trade discount, but no entry is passed for cash discount.
Correct Answer False
Your Answer False

True/False
Question Depreciation under Reducing Balance Method is calculated as (Number of units * Rate of depreciation per unit).
Correct Answer False
Your Answer True

Multiple Choice Multiple Answer
Question Causes for adverse material price variance are:-
Correct Answer Uneconomical size of purchase orders , Failure to avail discounts allowed by suppliers. , Excessive freight charges
Your Answer Uneconomical size of purchase orders , Failure to avail discounts allowed by suppliers. , Excessive freight charges

True/False
Question Balance sheet indicates the financial status of the business at given period.
Correct Answer True
Your Answer True

True/False
Question A business is an activity carried out with the intention of earning the profit.
Correct Answer True
Your Answer True

True/False
Question The sum of indirect material cost, indirect labour cost and indirect expenses is termed as Overheads.
Correct Answer True
Your Answer True

True/False
Question Balance sheet indicates the expenditure & income of the business.
Correct Answer False
Your Answer False

True/False
Question P&L statement which is a period statement & relates to a certain period tells about results of operations.
Correct Answer True
Your Answer True

Multiple Choice Single Answer
Question Which section of the Companies Act, 1956, states that cost audit is compulsory for certain industries?
Correct Answer 209(1) (d)
Your Answer 209(1) (d)

Select The Blank
Question The various contents of a uniform cost manual are organization, cost accounting system and ________.
Correct Answer Presentation of information
Your Answer Presentation of information

True/False
Question Manufacturing overheads represents all costs incurred in the factory including direct material cost and direct labour cost.
Correct Answer False
Your Answer False

True/False
Question Goods sent to the customers on approval basis should be treated as sales.
Correct Answer False
Your Answer True

Multiple Choice Multiple Answer
Question Features of material usage variance are :-
Correct Answer Measures the difference between the quantity of materials actually used and that should have been used. , Considers standard price X actual quantity , Considers standard price X standard quantity
Your Answer Measures the difference between the quantity of materials actually used and that should have been used. , Measures the difference between the quantity of materials actually purchased and that should have been purchased. , Considers standard price X actual quantity , Considers standard price X standard quantity

Select The Blank
Question Purchase of national saving certificates by the company from its profits, should be debited to ________ account.
Correct Answer Investments
Your Answer Savings

Multiple Choice Multiple Answer
Question In practical circumstances, control ledgers may be maintained for the following categories:-
Correct Answer Sundry debtors , Sundry creditors , Advance to Staff
Your Answer Sundry debtors , Sundry creditors , Advance to Staff

True/False
Question Trading account is used to analyze how successfully and how efficiently the firm runs, particularly with regards to the maintenance of the gross profit margin.
Correct Answer True
Your Answer True

True/False
Question Management Accounting aims at enabling the management to take the decisions about the future. It may consider future data as well as non-financial factors.
Correct Answer True
Your Answer True

Multiple Choice Multiple Answer
Question From the following, select current assets:-
Correct Answer Sundry debtors , Stock , Pre paid expenses
Your Answer Sundry debtors , Stock , Pre paid expenses

Multiple Choice Single Answer
Question The variance which measures the deviation of the rate actually paid to labour as from the standard hourly rate is known as:-
Correct Answer Labour rate variance
Your Answer Labour rate variance

True/False
Question Cost Accounting is concerned with calculation of the profitability and state of affairs of the organization as a whole.
Correct Answer False
Your Answer False

True/False
Question The reports generated by financial accounting are meant for the use by management for effective decisions.
Correct Answer True
Your Answer True

True/False
Question Management Accounting is the process of analysis and interpretation of financial data collected with help of financial accounting and cost accounting
Correct Answer True
Your Answer True

Multiple Choice Multiple Answer
Question The objectives of Uniform costing system are as follows :-
Correct Answer To fix a common selling price for the industry as a whole , To compare efficiency of each unit against industry's overall performance , To compile reliable cost data for inter-firm comparison of costs
Your Answer To compile reliable cost data for inter-firm comparison of costs , To fix a common selling price for the industry as a whole , To compare efficiency of each unit against industry's overall performance

Select The Blank
Question ________ Accounting assists the management in establishing the plans to attain the economic objectives and take proper decisions for the attainment of its objectives.
Correct Answer Management
Your Answer Management

True/False
Question Financial Accounting primarily protects the interests of the outsiders dealing with organization in various capacities.
Correct Answer True
Your Answer True

Select The Blank
Question Computation of gross wages, deductions and net wages payable is the function of the ________ department.
Correct Answer Personnel
Your Answer Personnel

Select The Blank
Question Margin of safety indicates ________ of operations.
Correct Answer Profitability
Your Answer Profitability

Multiple Choice Multiple Answer
Question Labour efficiency variance arises due to:-
Correct Answer Inefficient supervisor , Poor working conditions , Use of sub-standard quality of material
Your Answer Inefficient supervisor , Poor working conditions , Change in material mix

Multiple Choice Multiple Answer
Question Examples of indirect material are :-
Correct Answer Consumable stores , Glue used in book binding , Nails used in packing boxes
Your Answer Consumable stores , Glue used in book binding , Rear-view mirror of a two wheeler

Match The Following
Question Correct Answer Your Answer
Total cost - Fixed cost Variable cost Variable cost
Contribution - Fixed cost Profit Profit
Total cost + Profit Sales Sales
Fixed cost + Variable cost Total cost Total cost

True/False
Question Financial accounting may deal with the ascertainment of cost & calculation of profitability of the individual product.
Correct Answer False
Your Answer False

Match The Following
Question Correct Answer Your Answer
Change in profit/ Change in activity level Profit volume ratio Profit volume ratio
Change in total cost/ Change in activity level Variable cost per unit Profit
Total sales X Profit volume ratio Total contribution Total contribution
Selling price ( Actual sales - Break even sales) Margin of safety Margin of safety ratio

Select The Blank
Question The process of finding the reasons for the difference in the balance as per bank book and pass book is known as ________.
Correct Answer Reconciliation
Your Answer Reconciliation

Select The Blank
Question The difference between sales and prime cost is known as ________.
Correct Answer Gross Profit
Your Answer Net Profit

Multiple Choice Single Answer
Question Standard labour cost of a job has been specified as 50 hours work by skilled workers @ Rs.20/- per hour and 150 hours work by unskilled workers @ Rs.10/- per hour. Actual time taken was 70 hours by skilled workers @ Rs.18/- per hour and 170 hours by unskilled workers @ Rs.13/- per hour. Calculate labour yield variance.
Correct Answer Rs.500/- (Adverse)
Your Answer Rs.500/- (Adverse)

Select The Blank
Question The stores department is a ________ department.
Correct Answer Service
Your Answer Valuable

Multiple Choice Multiple Answer
Question Cost control procedure deals with :-
Correct Answer Establishment of plans , Comparison of actual and planed performance , Computation of variance
Your Answer Establishment of plans , Computation of profit , Comparison of actual and planed performance

True/False
Question The labour cost which can be identified with the individual cost centre is known as the Direct Labour Cost.
Correct Answer True
Your Answer True

True/False
Question Under the Rowan plan bonus is a fixed percentage.
Correct Answer False
Your Answer False

Multiple Choice Single Answer
Question Which of the following is the most efficient use of the clock card?
Correct Answer To facilitate payment for time spent on the work premises
Your Answer To facilitate payment for time spent on the work premises

Multiple Choice Single Answer
Question It is said that adoption of uniform costing creates customer confidence because :-
Correct Answer Prices are reliable
Your Answer Prices are reliable

Select The Blank
Question Profit = Contribution per unit X ________.
Correct Answer Margin of safety (units)
Your Answer Sales (units)

True/False
Question Accounting is an art of recording, classifying & summarizing in a significant manner.
Correct Answer True
Your Answer True

Multiple Choice Multiple Answer
Question Techniques of management accounting include:-
Correct Answer Marginal costing , Budgetary control , Standard costing
Your Answer Marginal costing , Budgetary control , Standard costing

Multiple Choice Single Answer
Question An important feature of management accounting is :-
Correct Answer Optimizing the use of resources
Your Answer Considers only historical data

True/False
Question Category C items, as per the ABC analysis, usually refers to indirect material.
Correct Answer True
Your Answer False

Multiple Choice Single Answer
Question A withdrawal of Rs.500/- from Mr.Jone's account on 2nd October, 2004 has been entered by the bank in the pass book of Mr.Johny's account.' If you are preparing the bank reconciliation statement considering the balance as per pass book as on 31st October,2004 is Rs.2,250/- for Mr.Johny, find out the balance as per his bank book.
Correct Answer Rs.1,750/- (debit)
Your Answer Rs.1,750/- (debit)

Multiple Choice Multiple Answer
Question These are the preventive costs of labour turnover :-
Correct Answer Cost of maintaining good relations with the workers , Cost of medical services , Cost of welfare facilities
Your Answer Cost of maintaining good relations with the workers , Cost of medical services , Cost of welfare facilities

Multiple Choice Multiple Answer
Question The causes of idle time can be analyzed as :-
Correct Answer Administrative causes , Productive causes , Economic causes
Your Answer Administrative causes , Productive causes , Economic causes

Select The Blank
Question Baum Differential Plan is a combination of Taylor's differential piece rate system and Halsey system and is also known as ________.
Correct Answer Milwankee plan
Your Answer Milwankee plan

Multiple Choice Single Answer
Question Rent of Rs.7,500/- for the month of April was received in March. Which account should be credited in the books of accounts for making an entry for receipt of the said amount?
Correct Answer Rent received in advance account
Your Answer Rent received in advance account

Multiple Choice Multiple Answer
Question The operating profit as per cost statement may differ from the profit as per Profit and Loss Account due to existence of :-
Correct Answer Interest on loans taken from other , Interest on loans granted to others , Depreciation on plant and machinery
Your Answer Depreciation on plant and machinery , Preliminary expenses written off , Interest on loans taken from other , Interest on loans granted to others

True/False
Question Accounting is an art of recording, classifying & summarizing in a significant manner.
Correct Answer True
Your Answer True

Select The Blank
Question The variance that attempts to ascertain the effect of change in sales volume on the difference between actual and budgeted contribution is known as ________ variance.
Correct Answer Sales margin volume
Your Answer Total sales margin

Multiple Choice Multiple Answer
Question In practical circumstances, control ledgers may be maintained for the following categories:-
Correct Answer Sundry debtors , Sundry creditors , Advance to Staff
Your Answer Sundry debtors , Sundry creditors , Advance to Staff

True/False
Question All cash sales are recorded in the sales register.
Correct Answer False
Your Answer True

Select The Blank
Question If the profit of Y Ltd. is Rs.10,000/- and its profit volume ratio is 10%, then its margin of safety will be Rs.________.
Correct Answer 100,000/-
Your Answer 100,000/-

Select The Blank
Question ________ account can be defined as the record of all the transactions pertaining to a person, asset, liability income or expenditure which have taken place in a specified period.
Correct Answer Ledger
Your Answer Ledger

Multiple Choice Single Answer
Question A good purchase system, for materials, prevents production hold-ups due to:-
Correct Answer Lack of material
Your Answer Lack of material

True/False
Question According to last-in-first-out method of material issue pricing, issues prices are close to current economic values.
Correct Answer True
Your Answer True

True/False
Question Profitability statement indicates the amount of assets & liabilities.
Correct Answer False
Your Answer False

Match The Following
Question Correct Answer Your Answer
Dividend paid Profit and loss appropriation account Profit and loss appropriation account
Freight inwards Manufacturing account Manufacturing account
Sales Trading account Trading account
Freight outwards Profit and loss account Profit and loss account

Multiple Choice Multiple Answer
Question Which of the following is likely to be a contributory factor to the incidence of excess expenditure on material cost?
Correct Answer The level of control of the used of material in the production cycle , The incorrect choice of purchase order quantity , Failure to control the issue of materials from stores
Your Answer The level of control of the used of material in the production cycle , An increase in the maximum material inventory level , The incorrect choice of purchase order quantity , Failure to control the issue of materials from stores

Multiple Choice Multiple Answer
Question Labour turnover means :-
Correct Answer Influx and exit of employees , Quantitative measurement of instability of working force , Rate of change in the average working force
Your Answer Influx and exit of employees , Quantitative measurement of instability of working force , Rate of change in the average working force

True/False
Question GAIL having monopoly in the CNG (Compressed Natural Gas) market can implement the Uniform costing system.
Correct Answer False
Your Answer False

True/False
Question A fixed budget is useful only when the actual level of activity corresponds to the budgeted level of activity.
Correct Answer True
Your Answer True

True/False
Question One of the major drawback of the contribution approach to costing is that it ignores fixed cost.
Correct Answer True
Your Answer False

Select The Blank
Question Non-trading income is disclosed on the credit side of ________ account.
Correct Answer Profit and loss
Your Answer Profit and loss

True/False
Question Balance sheet indicates the expenditure & income from the business.
Correct Answer False
Your Answer False

Select The Blank
Question Graphically, fixed cost line will be ________ the 'x-axis'.
Correct Answer Parallel to
Your Answer Parallel to

Select The Blank
Question Depreciation is caused by use factor, obsolescence and ________.
Correct Answer Time factor
Your Answer Time factor

Select The Blank
Question Loans which are borrowed from financial institutions are to be paid off in 8 years, should be disclosed as ________ in the balance sheet.
Correct Answer Long term liabilities
Your Answer Current liabilities

Multiple Choice Single Answer
Question Which of the following documents contains information as to quantity and value of material stock?
Correct Answer Stores ledger
Your Answer Material requisition note

Multiple Choice Multiple Answer
Question Direct Cost includes :-
Correct Answer Direct material , Direct labour , Direct expenses
Your Answer Direct material , Direct labour , Direct expenses

True/False
Question A business is an activity carried out with the intention of earning the profit.
Correct Answer True
Your Answer True

Multiple Choice Multiple Answer
Question Select the steps to be followed while preparing bank reconciliation statement :-
Correct Answer Compare the transactions in the bank book and the pass book , Check the totals and the balancing of both the books , Confirm that the opening balances of both the books are tallying
Your Answer Compare the transactions in the bank book and the pass book , Check the totals and the balancing of both the books , Confirm that the opening balances of both the books are tallying

True/False
Question The process of accounting split into three steams i.e. financial, cost, management accounting.
Correct Answer True
Your Answer True

Multiple Choice Single Answer
Question What will be the impact of following transactions on the cost of a lathe machine : (a) Transport charges on the lathe machine were debited to Carriage inward account, Rs.1,100/- (b) Cost of installing the machine stands debited to miscellaneous expenses account, Rs.200/-
Correct Answer Cost will increase by Rs.1,300/-
Your Answer Cost will decrease by Rs.900/-

True/False
Question Bank charges debited in the pass book represent clerical mistake on the part of the bank employees.
Correct Answer False
Your Answer True

Select The Blank
Question If the time booked as per the job cards is less than the attendance time it indicates ________ during which the worker has not done any work though he was present in the factory.
Correct Answer Idle time
Your Answer Idle time

Multiple Choice Multiple Answer
Question Special aspects of co-partnership include:-
Correct Answer Workers are granted ownership rights , Indirect monetary remuneration , The morale of the workers is increased
Your Answer Workers are granted ownership rights , The morale of the workers is increased , The workers are rewarded for individual efficiency

True/False
Question One of the main objection to the contribution approach of costing is that it ignores fixed cost.
Correct Answer True
Your Answer False

True/False
Question If the physical stock is less than the stock as per the stores ledger, such shortage should be treated as an issue of material.
Correct Answer True
Your Answer False

True/False
Question Linking overhead to a cost unit is known as overhead absorption.
Correct Answer True
Your Answer False

True/False
Question Malik started business by contributing cash Rs.50,000/- and his personal car worth Rs.25,000/-; thus his capital account should be credited with Rs.75,000/-.
Correct Answer True
Your Answer True

Multiple Choice Single Answer
Question The bank book shows an overdraft of Rs.117/- as on 31st December, 2003. It is found that the pass book is debited with Rs.11/- representing a dishonored cheque, originally received from Mr.A. The fact of dishonor was not recorded in the bank book. Find the balance as per pass book.
Correct Answer Rs.128/- (overdraft)
Your Answer Rs.106/- (credit)

Match The Following
Question Correct Answer Your Answer
Differential Cost Increase or Decrease in cost Increase or Decrease in cost
Sunk Cost Historical Cost Historical Cost
Cost Centre Facilitate the fixation of responsibility Facilitate the fixation of responsibility
Cost Control Process of controlling costs of operations Process of controlling costs of operations

True/False
Question Balance sheet indicates the financial status of the business at given period.
Correct Answer True
Your Answer True

Multiple Choice Single Answer
Question In a factory Beduax Point Premium system is in operation. The following are the particulars with regard to a job in a factory : allowed time for the job =600 B's; time taken = 480 minutes (or B's); rate = Rs.12/- per hour. Calculate the amount of bonus.
Correct Answer Rs.114/-
Your Answer Rs.104/-

Multiple Choice Multiple Answer
Question The quarterly production of a company's product which has a steady market is 20,000 units. Each unit of product requires 0.5 kg of raw material. The cost of placing one order for raw material is Rs.100/- and the inventory carrying cost is Rs.2/- per kg per annum. The lead time for procurement of raw material is 36 days and a safety stock of 1,000 kg of raw materials is maintained by the company. The company has been able to negotiate the following discount structure with the raw material supplier : For order quantity below 7,000 kg -discount per order is NIL. For order quantity between 7,000 kg and 8,000 kg., discount per order is Rs.400/-. For order quantity between 8,000 kg and 16,000 kg., discount per order is Rs.2,000/-. For order quantity between 16,000 kg and 30,000 kg., discount per order is Rs.3,200/-. Find the statements which indicate the correct costs for the different order sizes.
Correct Answer If order size is 6,667 units, total cost is Rs.6,867/- , If order size is 10,000 units, total cost is Rs.8,400/- , If order size is 20,000 units, total cost is Rs.17,000/-
Your Answer If order size is 10,000 units, total cost is Rs.8,400/- , If order size is 20,000 units, total cost is Rs.17,000/- , If order size is 5,000 units, total cost is Rs.5,400/-

Select The Blank
Question Computation of gross wages, deductions and net wages payable is the function of the ________ department.
Correct Answer Personnel
Your Answer Personnel

Select The Blank
Question ________ system of wage payment is a combination of Halsey system and Gantt system.
Correct Answer Diemer
Your Answer Diemer

Multiple Choice Single Answer
Question Standard labour cost of producing 500 metre of cloth has been specified as 20 hours work by skilled workers @ Rs.15/- per hour and 30 hours work by unskilled workers @ Rs.10/- per hour. For producing 500 metre cloth they worked for 30 hours each they were paid at the rate of Rs.17/- per hour and Rs.10/- per hour, respectively. Calculate labour mix variance.
Correct Answer Rs.30/- (Adverse)
Your Answer Rs.60/- (Adverse)

Multiple Choice Single Answer
Question Salary given in trial balance Rs. 5000/-, and Rs. 2,000/- is yet to be paid . The outstanding salary account will be disclosed in the :-
Correct Answer Balance Sheet - liability side
Your Answer Balance Sheet - liability side

True/False
Question Accounting refers to the process of analyzing & interpreting the information already recorded in the books of accounts.
Correct Answer True
Your Answer True

Multiple Choice Multiple Answer
Question Different types of tenders are :-
Correct Answer Singly tender , Open tender , Global tender
Your Answer Singly tender , Open tender , Global tender

Multiple Choice Multiple Answer
Question Causes for adverse material price variance are:-
Correct Answer Uneconomical size of purchase orders , Failure to avail discounts allowed by suppliers. , Excessive freight charges
Your Answer Uneconomical size of purchase orders , Failure to avail discounts allowed by suppliers. , Excessive freight charges

Select The Blank
Question Under the Merrick's differential piece rate system of wage payment if the efficiency level of a worker is below 83%, then he is paid wages at ________ piece rate.
Correct Answer Normal
Your Answer Normal




No comments:

Post a Comment