MGT402 Cost and management accounting. All online solved quiz by Fahid Mehmood (22/2/2014)

MGT402 Cost and management accounting All online solved quiz by Fahid Mehmood (22/2/2014) Figure 1 Hope this file will help you n remember me in your prays Ist quiz solved by Fahid Mehmood (11/11/2013) Question # 1 of 20 ( Start time: 04:12:08 PM ) Total Marks: 1 Alpha company purchased a machine worth Rs 200,000 in the last year.now that machine can be use in a new project which company has received this year. Now the cost of that machine is to be called: Project cost Sunk cost. Opportunity cost Relevant cost Question # 2 of 20 ( Start time: 04:13:24 PM ) Total Marks: 1 Which of the following cost is not changed with the change in production level? Prime cost Fixed cost... Conversion cost Variable cost Question # 3 of 20 ( Start time: 04:14:27 PM ) Total Marks: 1 All Indirect cost is charged/record in the head of

Prime cost FOH cost... Direct labor cost None of the given options Question # 4 of 20 ( Start time: 04:14:44 PM ) Total Marks: 1 If, Gross profit = Rs. 40,000 GP Margin = 25% of sales What will be the value of cost of goods sold? Rs. 160,000 Rs. 120,000. Rs. 40,000 Can not be determined Question # 5 of 20 ( Start time: 04:15:58 PM ) Total Marks: 1 Increase in material Inventory means: The ending inventory is greater than opening inventory... The ending inventory is less than opening inventory Both ending and opening inventories are equal Can not be determined Question # 6 of 20 ( Start time: 04:16:34 PM ) Total Marks: 1 If, Sales = Rs. 600,000 Markup = 20% of cost What would be the value of Gross profit? Rs. 200,000 Rs. 100,000...sure Rs. 580,000 Rs. 740,000 Question # 7 of 20 ( Start time: 04:18:02 PM ) Total Marks: 1 The component of Factory overhead are as follow Direct material + Indirect material + Direct expences Indirect material + Indirect labor + Others indirect cost... Direct material + Indirect expences + Indirect labor Direct labor + Indirect labor + Indirect expences Question # 8 of 20 ( Start time: 04:18:36 PM ) Total Marks: 1 According to IASB framework, Financial statements exhibit to its users the: Financial position

Financial performance Cash inflow and outflow analysis All of the given options...pg15 Question # 9 of 20 ( Start time: 04:19:24 PM ) Total Marks: 1 The components of the prime cost are: Direct Material + Direct Labor + Other Direct Cost...pg2 Direct Labor + Other Direct Cost + FOH Direct Labor + FOH None of the given options Question # 10 of 20 ( Start time: 04:20:26 PM ) Total Marks: 1 When FOH is under applied and charged to Net profit, the treatment would be: Add to operating profit Subtract from operating profit Add to operating expenses None of the given options...pg26 Question # 11 of 20 ( Start time: 04:21:55 PM ) Total Marks: 1 Which of the following is indirect cost? The depreciation of machinery The overtime premium incurred at the specific request of a customer The hire of tools for a specific job All of the given options... Question # 12 of 20 ( Start time: 04:22:45 PM ) Total Marks: 1 A cost unit is The cost per hour of operating a machine The cost per unit of electricity consumed A unit of product or services in relation to which costs are ascertained...pg6 A measure of work output in a standard hour Question # 13 of 20 ( Start time: 04:24:06 PM ) Total Marks: 1 Net sales = Sales less: Sales returns Sales discounts Sales returns & allowances

Sales returns & allowances and sales discounts... Question # 14 of 20 ( Start time: 04:25:11 PM ) Total Marks: 1 In which of the following would there be a difference between financial and managerial accounting? Users of the information Purpose of the information Flexibility of practices All of the given options... Question # 15 of 20 ( Start time: 04:25:58 PM ) Total Marks: 1 Which of the following costs is part of the prime cost for manufacturing company? Cost of transporting raw materials from the suppliers premises Wages of factory workers engaged in machine maintenance... Depreciation of truck used for deliveries to customers Cost of indirect production materials Question # 16 of 20 (Start time: 04:27:13 PM ) Total Marks: 1 Which of the following is not true Managerial accounting information is prepared for internal users Preparation of Managerial accounting information is not a legal requirement... There are specific standards of acceptability for managerial accounting The structure of managerial accounting practice is relatively flexible Question # 17 of 20 ( Start time: 04:28:33 PM ) Total Marks: 1 Which of the following would be considered to be an investment centre? Managers have control over marketing Management have a sales team Management have a sales team and are given a credit control function Managers can purchase capital assets and are given a credit control function... Question # 18 of 20 ( Start time: 04:29:54 PM ) Total Marks: 1 Sales are Rs. 450,000. Beginning finished goods were Rs. 23,000. Ending finished goods are Rs. 30,000. The cost of goods sold is Rs. 300,000. What is the cost of goods manufactured?

Rs. 323,000 Rs. 330,000 Rs. 293,000 None of the given options... Question # 19 of 20 ( Start time: 04:31:09 PM ) Total Marks: 1 Differential cost has the behavior of? Fixed cost Step cost Variable/semi avriable cost... All of the given options Question # 20 of 20 ( Start time: 04:32:27 PM ) Total Marks: 1 If, Sales = Rs. 800,000 appli Markup = 25% of cost What would be the value of Gross profit? Rs. 200,000 Rs. 160,000... Rs. 480,000 Rs. 640,000 2. Fahid Mehmood Question # 1 of 20 ( Start time: 05:10:32 PM ) Total Marks: 1 Which of the following is correct? Units sold=opening finished goods units + Units produced Closing finished goods units.. Units Sold = Units produced + Closing finished goods units - Opening finished goods units Units sold = Sales + Average units of finished goods inventory Units sold = Sales - Average units of finished goods inventory Question # 2 of 20 ( Start time: 05:12:03 PM ) Total Marks: 1 Cost accounting department prepares that helps the in preparing final accounts. Cost sheets Cost of goods sold statement...15

Cost of production Report Material requisition form Cost accounting department prepares reports that help the accounting department in preparing final accounts, these include; Cost of goods manufactured statement Cost of goods sold statement Question # 3 of 20 ( Start time: 05:13:26 PM ) Total Marks: 1 According to IASB framework, Financial statements exhibit to its users the: Financial position Financial performance Cash inflow and outflow analysis All of the given options... Question # 4 of 20 ( Start time: 05:13:40 PM ) Total Marks: 1 Cost accounting concepts include all of the following EXCEPT: Planning Controlling Sharing... Costing Question # 6 of 20 ( Start time: 05:15:12 PM ) Total Marks: 1 If, Gross profit = Rs. 40,000 GP Margin = 20% of sales.what will be the value of cost of goods sold? Rs. 160,000... Rs. 120,000??? Rs. 40,000 Rs. 90,000 Question # 7 of 20 ( Start time: 05:16:40 PM ) Total Marks: 1 Buyer produced 20,000 units and their total factory cost was Rs. 450,000,other cost like property tax on factory bulding was Rs. 10,000 included in that cost till year ended the cost of per unit would be: Rs.22.5... Rs.23.5 Rs.24.5 Rs.26.5 ref 450000/20000 =22.5

Question # 8 of 20 ( Start time: 05:17:34 PM ) Total Marks: 1 Cost of finished goods inventory is calculated by: Multiplying units of finished goods inventory with the cost per unit... Dividing units of finished goods inventory with the cost per unit Dividing per unit cost with finished goods inventory Deducting total cost from finished goods inventory Question # 9 of 20 ( Start time: 05:18:41 PM ) Total Marks: 1 Differential cost has the behavior of? Fixed cost Step cost Variable/semi avriable cost... All of the given options Question # 10 of 20 ( Start time: 05:18:48 PM ) Total Marks: 1 If, Sales = Rs. 600,000 Markup = 20% of cost What would be the value of Gross profit? Rs. 200,000 Rs. 100,000... Rs. 580,000 Rs. 740,000 Question # 11 of 20 ( Start time: 05:19:30 PM ) Total Marks: 1 are future costs that effect the current management decision. Sunk Cost Standard Cost Relevant Cost... Irrelevant Cost Question # 12 of 20 ( Start time: 05:19:49 PM ) Total Marks: 1 Where the applied FOH cost is greater than the actual FOH cost it is: Unfavorable variance Favorable variance...pg 24 Normal variance Budgeted variance Where the applied cost is greater than the actual cost it is favorable variance, but where the applied cost is lesser than the actual cost it is unfavorable variance.

Question # 13 of 20 ( Start time: 05:20:47 PM ) Total Marks: 1 Net Income before Interest and tax is also called: Operating Income/Profit... Gross Profit Marginal Income Other Income Question # 14 of 20 ( Start time: 05:21:09 PM ) Total Marks: 1 Which of the following is an example of semi variable cost? Salary of supervisor Rent of a building Post paid mobile connection None of the given options Question # 15 of 20 ( Start time: 05:22:38 PM ) Total Marks: 1 The components of the prime cost are: Direct Material + Direct Labor + Other Direct Cost... Direct Labor + Other Direct Cost + FOH Direct Labor + FOH None of the given options Question # 16 of 20 ( Start time: 05:23:00 PM ) Total Marks: 1 The main difference between the profit center and investment center is: Decision making... Revenue generation Cost incurrence Investment Question # 17 of 20 ( Start time: 05:23:33 PM ) Total Marks: 1 Sales are Rs. 450,000. Beginning finished goods were Rs. 23,000. Ending finished goods are Rs. 30,000. The cost of goods sold is Rs. 300,000. What is the cost of goods manufactured? Rs. 323,000 Rs. 330,000 Rs. 293,000 None of the given options...

Question # 18 of 20 ( Start time: 05:24:05 PM ) Total Marks: 1 Cost of goods sold can be calculated as follow Cost of goods manufactured... Add Opening finished goods inventory... Less Closing finished goods inventory... Cost of goods manufactured Less Opening finished goods inventory Less Closing finished goods inventory Cost of goods manufactured Less Opening finished goods inventory Add Closing finished goods inventory Cost of goods manufactured Add Opening finished goods inventory Add Closing finished goods inventory Question # 19 of 20 ( Start time: 05:24:42 PM ) Total Marks: 1 Closing work in process Inventory of last year: Is treated as Opening inventory for current year... Is not carried forward to next year Become expense in the next year Charge to Profit & Loss account Question # 20 of 20 ( Start time: 05:25:21 PM ) Total Marks: 1 Amount of net purchase can be calculated as follow Purchase of direct material add trade discount less purchase return add carriage inward less other material handling cost Purchase of direct material less trade discount l add purchase return add carriage inward less other material handling cost Purchase of direct material less trade discount less purchase return less carriage inward add other material handling cost Purchase of direct material less trade discount less purchase return add carriage inward add other material handling cost...pg17 Question # 1 of 20 ( Start time: 09:13:43 AM ) Total Marks: 1 Differential cost has the behavior of?

Fixed cost Step cost Variable/semi avriable cost... All of the given options Question # 2 of 20 ( Start time: 09:14:04 AM ) Total Marks: 1 Cost of goods sold can be calculated as follow Cost of goods manufactured... Add Opening finished goods inventory... Less Closing finished goods inventory... Cost of goods manufactured Less Opening finished goods inventory Less Closing finished goods inventory Cost of goods manufactured Less Opening finished goods inventory Add Closing finished goods inventory Cost of goods manufactured Add Opening finished goods inventory Add Closing finished goods inventory Question # 3 of 20 ( Start time: 09:14:16 AM ) Total Marks: 1 Which of the following cost has both features fixed and variable? Step fixed cost Fixed cost Variable cost Semi variable cost... Question # 4 of 20 ( Start time: 09:14:34 AM ) Total Marks: 1 If, COGS = Rs. 70,000 GP Margin = 30% of sales What will be the value of Sales? Rs. 200,000 Rs. 66,667 Rs. 100,000... Rs. 62,500 Question # 5 of 20 ( Start time: 09:15:22 AM ) Total Marks: 1

If, Sales = Rs. 800,000 appli Markup = 25% of cost What would be the value of Gross profit? Rs. 200,000 Rs. 160,000. Rs. 480,000 Rs. 640,000 Question # 6 of 20 ( Start time: 09:16:51 AM ) Total Marks: 1 If, Gross profit = Rs. 40,000 GP Margin = 20% of sales What will be the value of cost of goods sold? Rs. 160,000... Rs. 120,000 Rs. 40,000 Rs. 90,000 Question # 7 of 20 ( Start time: 09:18:20 AM ) Total Marks: 1 If, Gross profit = Rs. 40,000 GP Margin = 25% of sales What will be the value of cost of goods sold? Rs. 160,000 Rs. 120,000 Rs. 40,000 Can not be determined Question # 8 of 20 ( Start time: 09:19:31 AM ) Total Marks: 1 Manufacturing entities classified the inventory in which of three kinds? Material inventory,wip inventory,finished goods inventory... Material inventory,purchased good inventory,wip inventory Material inventory,purchased good inventory,finished goods inventory WIP inventory,finished goods inventory,purchased good inventory Question # 9 of 20 ( Start time: 09:20:24 AM ) Total Marks: 1 Alpha company purchased a machine worth Rs 200,000 in the last year.now that machine can be use in a new project which company has received this year. Now the cost of that machine is to be called: Project cost Sunk cost.. Opportunity cost Relevant cost

Question # 10 of 20 ( Start time: 09:20:36 AM ) Total Marks: 1 The Inventory Turn over ration is 5 times and numbers of days in a year is 365.Inventory holding period in days would be 100 days 73 days... 50 days 10 days ref 365/5=73 Question # 11 of 20 ( Start time: 09:21:06 AM ) Total Marks: 1 Direct materials cost is Rs. 80,000. Direct labor cost is Rs. 60,000. Factory overhead is Rs. 90,000. Beginning goods in process were Rs. 15,000. The cost of goods manufactured is Rs. 245,000. What is the cost assigned to the ending goods in process? Rs. 45,000 Rs. 15,000 Rs. 30,000 There will be no ending Inventory... T.FOH (230,000)+ open WIP (15000) CLOSE WIP (X ) = 245000 230000+15000-245000 = X X=0 so there will be no ending inventory Question # 12 of 20 ( Start time: 09:22:37 AM ) Total Marks: 1 Sales are Rs. 450,000. Beginning finished goods were Rs. 23,000. Ending finished goods are Rs. 30,000. The cost of goods sold is Rs. 300,000. What is the cost of goods manufactured? Rs. 323,000 Rs. 330,000 Rs. 293,000 None of the given options... X +23000-30000 =300,000 X=300,000 + 30,000-23,000 X = 307,000 So none of given option is correct Question # 13 of 20 ( Start time: 09:23:13 AM ) Total Marks: 1 Which of the following items of expense are to be add in FOH cost Rent of factory + Head office rent + salaries to factory watchman

Rent of factory + factory lighting bill + Directors salaries Rent of factory + factory lighting bill + Factory employees salaries... Head office rent + Factory property tax + Factory small tools Question # 14 of 20 ( Start time: 09:24:07 AM ) Total Marks: 1 The supervisor salary is treated as: Direct labor cost Indirect labor cost... Conversion cost None of the given options Question # 15 of 20 ( Start time: 09:24:22 AM ) Total Marks: 1 Cost of Goods Manufactured can be calculated as follow Total factory Cost... Add Opening Work in process inventory... Less Closing Work in process inventory... Total factory Cost Less Opening Work in process inventory Add Closing Work in process inventory Total factory Cost Less Opening Work in process inventory Less Closing Work in process inventory Total factory Cost Add Opening Work in process inventory Add Closing Work in process inventory Question # 16 of 20 ( Start time: 09:24:41 AM ) Total Marks: 1 Where the applied FOH cost is greater than the actual FOH cost it is: Unfavorable variance Favorable variance... Normal variance Budgeted variance Question # 17 of 20 ( Start time: 09:25:16 AM ) Total Marks: 1 The cost of electricity bill of the factory is treated as:

Fixed cost Variable cost.. Step cost Semi variable cost Question # 18 of 20 ( Start time: 09:25:55 AM ) Total Marks: 1 A cost unit is The cost per hour of operating a machine The cost per unit of electricity consumed A unit of product or services in relation to which costs are ascertained... A measure of work output in a standard hour Question # 19 of 20 ( Start time: 09:26:04 AM ) Total Marks: 1 Amount of net purchase can be calculated as follow Purchase of direct material add trade discount less purchase return add carriage inward less other material handling cost Purchase of direct material less trade discount l add purchase return add carriage inward less other material handling cost Purchase of direct material less trade discount less purchase return less carriage inward add other material handling cost Purchase of direct material less trade discount less purchase return add carriage inward add other material handling cost... Question # 20 of 20 ( Start time: 09:26:23 AM ) Total Marks: 1 According to IASB framework, Financial statements exhibit to its users the: Financial position Financial performance Cash inflow and outflow analysis All of the given options... Question # 2 of 20 ( Start time: 04:19:35 PM ) Total Marks: 1 If opening inventory of material is Rs.20,000 and closing inventory is Rs. 40,000.the Average inventory amount will be: Rs. 40,000 Rs. 30,000... Rs. 20,000 Rs. 10,000

20000+40000 / 2 = 30,000 Question # 3 of 20 ( Start time: 04:20:06 PM ) Total Marks: 1 Which of the following cost is used in the calculation of cost per unit? Total production cost Cost of goods available for sales Cost of goods manufactured...pg36 Cost of goods Sold Cost of goods manufactured / Number of units manufactured = cost per unit Question # 4 of 20 ( Start time: 04:21:07 PM ) Total Marks: 1 Opportunity cost is the best example of: Sunk Cost Standard Cost Relevant Cost... Irrelevant Cost Question # 5 of 20 ( Start time: 04:22:21 PM ) Total Marks: 1 Period costs are Expensed when the product is sold Included in the cost of goods sold Related to specific Period... Not expensed Question # 6 of 20 ( Start time: 04:22:58 PM ) Total Marks: 1 Amount of net purchase can be calculated as follow Purchase of direct material add trade discount less purchase return add carriage inward less other material handling cost Purchase of direct material less trade discount l add purchase return add carriage inward less other material handling cost Purchase of direct material less trade discount less purchase return less carriage inward add other material handling cost Purchase of direct material less trade discount less purchase return add carriage inward add other material handling cost... Question # 7 of 20 ( Start time: 04:23:15 PM ) Total Marks: 1

Alpha company purchased a machine worth Rs 200,000 in the last year.now that machine can be use in a new project which company has received this year. Now the cost of that machine is to be called: Project cost Sunk cost. Opportunity cost Relevant cost Question # 8 of 20 ( Start time: 04:23:59 PM ) Total Marks: 1 Net sales = Sales less: Sales returns Sales discounts Sales returns & allowances Sales returns & allowances and sales discounts... Question # 9 of 20 ( Start time: 04:24:20 PM ) Total Marks: 1 Which of the following is correct? Units sold=opening finished goods units + Units produced Closing finished goods units... Units Sold = Units produced + Closing finished goods units - Opening finished goods units Units sold = Sales + Average units of finished goods inventory Units sold = Sales - Average units of finished goods inventory Question # 10 of 20 ( Start time: 04:25:28 PM ) Total Marks: 1 Manufacturing entities classified the inventory in which of three kinds? Material inventory,wip inventory,finished goods inventory... Material inventory,purchased good inventory,wip inventory Material inventory,purchased good inventory,finished goods inventory WIP inventory,finished goods inventory,purchased good inventory Question # 11 of 20 ( Start time: 04:25:41 PM ) Total Marks: 1 Cost of goods sold can be calculated as follow

Cost of goods manufactured... Add Opening finished goods inventory... Less Closing finished goods inventory... Cost of goods manufactured Less Opening finished goods inventory Less Closing finished goods inventory Cost of goods manufactured Less Opening finished goods inventory Add Closing finished goods inventory Cost of goods manufactured Add Opening finished goods inventory Add Closing finished goods inventory Question # 12 of 20 ( Start time: 04:26:10 PM ) Total Marks: 1 Which of the following is not true Managerial accounting information is prepared for internal users Preparation of Managerial accounting information is not a legal requirement... There are specific standards of acceptability for managerial accounting The structure of managerial accounting practice is relatively flexible Question # 13 of 20 ( Start time: 04:26:43 PM ) Total Marks: 1 All Indirect cost is charged/record in the head of Prime cost FOH cost... Direct labor cost None of the given options Question # 14 of 20 ( Start time: 04:26:58 PM ) Total Marks: 1 Which of the following is indirect cost? The depreciation of machinery The overtime premium incurred at the specific request of a customer The hire of tools for a specific job All of the given options. Question # 15 of 20 ( Start time: 04:27:24 PM ) Total Marks: 1 Which of the following would be considered to be an investment centre?

Managers have control over marketing Management have a sales team Management have a sales team and are given a credit control function Managers can purchase capital assets and are given a credit control function... Question # 16 of 20 ( Start time: 04:28:13 PM ) Total Marks: 1 The main difference between the profit center and investment center is: Decision making... Revenue generation Cost incurrence Investment Question # 17 of 20 ( Start time: 04:28:32 PM ) Total Marks: 1 Costs which are constant for a relevant range of activity and rise to new constant level once that range exceeded is called: A fixed cost A variable cost A mixed cost A step fixed cost. Question # 18 of 20 ( Start time: 04:28:48 PM ) Total Marks: 1 Cost accounting department prepares that helps the in preparing final accounts. Cost sheets Cost of goods sold statement... Cost of production Report Material requisition form Question # 19 of 20 ( Start time: 04:29:15 PM ) Total Marks: 1 If, Gross profit = Rs. 40,000 GP Margin = 25% of sales What will be the value of cost of goods sold? Rs. 160,000 Rs. 120,000 Rs. 40,000 Can not be determined

Question # 20 of 20 ( Start time: 04:30:01 PM ) Total Marks: 1 Direct material opening inventory add net purchases is called Material consumed Material available for use... Total material purchsed Material ending inventory Mgt402 2 nd online quiz solved by Fahid Mehmoodn 11/12/13 1. fajar fatima Question # 1 of 20 ( Start time: 05:07:15 PM ) Total Marks: 1 In order to ensure efficient functioning of the stores department and steady flow of materials to the production departments, the restocking of stores is duty of: Managers Storekeeper...49 Production In charge Sales supervisor One important duty of a storekeeper is the restocking of stores in order to ensure efficient functioning of the stores department and steady flow of materials to the production department Question # 2 of 20 ( Start time: 05:08:35 PM ) Total Marks: 1 Loss by fire is an example of: Normal Loss Abnormal Loss... Incremental Loss Can not be determined Question # 3 of 20 ( Start time: 05:08:58 PM ) Total Marks: 1 The Term Mimimum Level Represents. This represents the quantity below which the stock of any item should not be allowed to fall...52 This represents the quantity below which the stock of any item should be allowed to fall This is the estimated time period in number of days or in weeks or in months.

This is the Lead time period in number of days or in weeks or in months. Minimum Level; This represents the quantity below which the stock of any item should not be allowed to fall Question # 4 of 20 ( Start time: 05:10:19 PM ) Total Marks: 1 Gross pay includes which of the following items? Basic pay + bonus pay Overtime payment + shift allowances Rent and conveyance allowances All of the given options... Question # 5 of 20 ( Start time: 05:10:30 PM ) Total Marks: 1 The Term Maximum Level Represents: The maximum stock level indicates the maximum quantity of an item of material which can be held in stock at any time....51 The maximum stock level indicates the maximum quantity of an item of material which cannot be held in stock at any time. The Average stock level indicates the maximum quantity of an item of material which can be held in stock at any time. The Available stock level indicates the maximum quantity of an item of material which can be held in stock at any time. Maximum Stock Level The maximum stock level indicates the maximum quantity of an item of material which can be held in stock at any time. Question # 6 of 20 ( Start time: 05:11:19 PM ) Total Marks: 1 Buyer produced 20,000 units and their total factory cost was Rs. 450,000,other cost like property tax on factory bulding was Rs. 10,000 included in that cost till year ended the cost of per unit would be: Rs.22.5... (450,000 / 20,000=22.5) Rs.23.5 Rs.24.5 Rs.26.5 Question # 7 of 20 ( Start time: 05:12:40 PM ) Total Marks: 1

Which of the following is considered as basic systems of remunerating labor? Time rate system Piece rate system Halsey Premium plan Both time rate and piece rate system...pg12 So there are two basic systems of remunerating labor. One is related to the time and the other relates to the quantum of work. Question # 8 of 20 ( Start time: 05:13:42 PM ) Total Marks: 1 An organistation sold units 4000 and have closing finished goods 3500 units and opening finished goods units were 1000.The quantity of unit produced would be: 7500 units 6500 units... sure 4500 units 8500 units X + 1000-3500 = 4000 X=4000 + 3500-1000 =6500 units Question # 9 of 20 (Start time: 05:15:00 PM ) Total Marks: 1 Net Income before Interest and tax is also called: Operating Income/Profit... Gross Profit Marginal Income Other Income Question # 10 of 20 ( Start time: 05:15:52 PM ) Total Marks: 1 Which of the following items of expense are to be add in FOH cost Rent of factory + Head office rent + salaries to factory watchman Rent of factory + factory lighting bill + Directors salaries Rent of factory + factory lighting bill + Factory employees salaries... Head office rent + Factory property tax + Factory small tools Question # 11 of 20 ( Start time: 05:16:37 PM ) Total Marks: 1 Which of the following is not true Managerial accounting information is prepared for internal users

Preparation of Managerial accounting information is not a legal requirement... There are specific standards of acceptability for managerial accounting The structure of managerial accounting practice is relatively flexible Question # 12 of 20 ( Start time: 05:17:17 PM ) Total Marks: 1 Which of the following is NOT true about job order cost sheets? Job cost sheets contain direct material costs Job cost sheets contain actual amounts of factory overhead... Job cost sheet does not contain conversion cost? Job cost sheets contain direct labor costs Question # 13 of 20 ( Start time: 05:18:47 PM ) Total Marks: 1 Which of the following statements concerning job order costing systems is incorrect? Cost drivers are those items which cause actual overhead to exceed applied overhead...112 Job order costing systems are appropriate to both manufacturing and service businesses Traditionally, direct labor has been a very popular overhead application base In a service business, indirect costs of providing a service are treated as overhead and applied in a manner similar to that for factory overhead Cost Driver is defined as a measure of activity the magnitude of which influences if magnitude of cost of relevant cost objectives. In other words Factory overhead application base should be a measure of activity which has causal relation with incurrence of factory overhead. Question # 14 of 20 ( Start time: 05:20:08 PM ) Total Marks: 1 Store incharge after receiving the material as per the goods received note, places the material at its location and makes an entry in. Bin Card...65 Store Ledger Card Stock Ledger None of the given options Bin Card Store incharge after receiving the material as per the goods received note, places the material at its location and makes an entry in the bin card. Question # 15 of 20 ( Start time: 05:20:55 PM ) Total Marks: 1 Increase in material Inventory means: The ending inventory is greater than opening inventory...34 The ending inventory is less than opening inventory

Both ending and opening inventories are equal Can not be determined Increase in inventory means closing inventory is greater than the opening inventory Question # 16 of 20 ( Start time: 05:22:16 PM ) Total Marks: 1 If, Gross profit = Rs. 40,000 GP Margin = 25% of sales What will be the value of cost of goods sold? Rs. 160,000 Rs. 120,000... Rs. 40,000 Can not be determined Question # 17 of 20 ( Start time: 05:22:50 PM ) Total Marks: 1 While calculating the EOQ, number of orders is calculated by: Multiplying the required units with cost per order Dividing required unit by ordered quantity...pg57 Multiplying the required units with ordered quantity Multiplying the ordered quantity with cost per order Required Units/ Order Quantity = Number of orders Question # 18 of 20 ( Start time: 05:24:11 PM ) Total Marks: 1 Cost accounting concepts include all of the following EXCEPT: Planning Controlling Sharing... Costing Question # 19 of 20 ( Start time: 05:25:02 PM ) Total Marks: 1 High labor turnover is NOT desirable because: It denotes the instability of the labor force It is an indication of high labor cost It shows frequent changes in the labor force All of the given options...96 Labor Turnover: Labor turnover may be defined as the rate of change in the composition of the labor force of an organisation high rate of labor turnover denotes that labor is not stable

and there is frequent change in the labor force in the organisation. The high labor turnover rate is an important indication of high labor cost. It is therefore not desirable. Question # 20 of 20 ( Start time: 05:26:02 PM ) Total Marks: 1 FOH applied rate of Rs. 5.60 per machine hour. During the year the FOH to Rs.275,000 and 48,000 machine hours were used. Which one of following statement is correct? Overhead was under-applied by Rs.6,200... Overhead was over-applied by Rs.6,200 Overhead was under-applied by Rs.7,200 Overhead was over-applied by Rs.7,200 5.60 * 48000 =268800 268800-275000 2. Fahid Mehmood Question # 1 of 20 ( Start time: 05:32:33 PM ) Total Marks: 1 In which of the following center FOH cost NOT incurred Production Center Service Center General Cost Center Head Office... Question # 2 of 20 ( Start time: 05:33:33 PM ) Total Marks: 1 If a predetermined FOH rate is not applied and the volume of production is reduced from the planned capacity level, the cost per unit expected to: Remain unchanged for fixed cost and increase for variable cost Increase for fixed cost and remain unchanged for variable cost... Increase for fixed cost and decrease for variable cost Decrease for both fixed and variable costs Question # 3 of 20 ( Start time: 05:34:48 PM ) Total Marks: 1 The cost of goods sold was Rs. 240,000. Beginning and ending inventory balances were Rs. 20,000 and Rs. 30,000, respectively. What was the inventory turnover? 8.0 times 12.0 times 7.0 times

9.6 times...32 Inventory turnover ratio Inventory turnover ratio = Cost of goods sold / Average inventory avg inventry = 20,000 + 30,000 =50000/2 = 25,000 240,000 / 25,000 = 9.6 times Question # 4 of 20 ( Start time: 05:36:14 PM ) Total Marks: 1 The Process of cost apportionment is carried out so that: Cost may be controlled Cost unit gather overheads as they pass through cost centers Whole items of cost can be charged to cost centers Common costs are shared among cost centers... Question # 5 of 20 ( Start time: 05:37:36 PM ) Total Marks: 1 Manufacturing entities classified the inventory in which of three kinds? Material inventory,wip inventory,finished goods inventory... Material inventory,purchased good inventory,wip inventory Material inventory,purchased good inventory,finished goods inventory WIP inventory,finished goods inventory,purchased good inventory Question # 6 of 20 ( Start time: 05:37:53 PM ) Total Marks: 1 Under Periodic Inventory system Purchase of inventory is treated as: Assets Expense...41 Income Liability Question # 7 of 20 ( Start time: 05:39:03 PM ) Total Marks: 1 Of the following manufacturing operations, which is the best suited to the utilization of a job order system? Soft drink bottling operation Crude oil refining Plastic molding operation.. Cement Production

Question # 8 of 20 ( Start time: 05:40:31 PM ) Total Marks: 1 A store ledger card is similar to the. Stock ledger Bin card...65 Material card Purchase requsition card It is similar to the bin card Question # 9 of 20 ( Start time: 05:41:52 PM ) Total Marks: 1 High labor turnover is NOT desirable because: It denotes the instability of the labor force It is an indication of high labor cost It shows frequent changes in the labor force All of the given options... Question # 10 of 20 ( Start time: 05:42:06 PM ) Total Marks: 1 Overtime that is necessary in order to fulfill customer orders is called: Avoidable overtime Unavoidable overtime...85 Premium Overtime Flex time Overtime that is necessary in order to fulfill customer orders is unavoidable overtime. Question # 11 of 20 ( Start time: 05:42:55 PM ) Total Marks: 1 The cost of electricity bill of the factory is treated as: Fixed cost Variable cost... Step cost Semi variable cost Question # 12 of 20 ( Start time: 05:44:17 PM ) Total Marks: 1 FOH applied rate of Rs. 5.60 per machine hour. During the year the FOH to Rs.275,000 and 48,000 machine hours were used. Which one of following statement is correct?

Overhead was under-applied by Rs.6,200... Overhead was over-applied by Rs.6,200 Overhead was under-applied by Rs.7,200 Overhead was over-applied by Rs.7,200 5.60* 48,000 = 268800 Under/Over applied FOH cost Applied FOH Cost -Actual FOH Cost = under applied FOH cost 268800 268800-275000 = -6200 under Question # 13 of 20 ( Start time: 05:45:34 PM ) Total Marks: 1 Which of the following is true for total factory cost? Total factory cost = prime cost + FOH...2 Total factory cost = prime cost + conversion cost + FOH Total factory cost = conversion cost + FOH Total factory cost = prime cost + conversion cost Prime Cost +Factory overhead cost= Total production cost. Question # 14 of 20 ( Start time: 05:46:53 PM ) Total Marks: 1 A method by which the good used are priced out at average cost is known as: BCVO AVCO... c.fifo LIFO Question # 15 of 20 ( Start time: 05:47:26 PM ) Total Marks: 1 Where the applied FOH cost is less than the actual FOH cost it is: Unfavorable variance... Favorable variance Normal variance Budgeted variance Question # 16 of 20 ( Start time: 05:47:46 PM ) Total Marks: 1 A standard rate is paid to the employee when he completed his job: In time less than the standard In standard time

In time more than standard Both in standard time and more than the standard time... Question # 17 of 20 ( Start time: 05:48:57 PM ) Total Marks: 1 Which of the following best describes the manufacturing costs? Direct materials, direct labor and factory overhead... Direct materials and direct labor Direct materials, direct labor, factory overhead, and administrative overhead Direct labor and factory overhead Question # 18 of 20 ( Start time: 05:50:23 PM ) Total Marks: 1 What will be the impact of normal loss on the overall per unit cost? Per unit cost will increase... Per unit cost will decrease Per unit cost remain unchanged Normal loss has no relation to unit cost Question # 19 of 20 ( Start time: 05:51:16 PM ) Total Marks: 1 is the time worked over and above the employee's basic working week. Flex time Overtime...84 Shift allowance Commission Overtime is the time worked over and above the employee's basic working week. Overtime must not be confused with flex-time. Ina flex-time system an employee is allowed to work extra hours earlier in the week or month, in return for which he will work fewer hours later on. His overall number of hours worked remains constant Question # 20 of 20 ( Start time: 05:52:19 PM ) Total Marks: 1 Cost accounting concepts include all of the following EXCEPT: Planning Controlling Sharing... Costing

3. amna Question # 1 of 20 ( Start time: 06:09:37 PM ) Total Marks: 1 Which of the following statement measures the financial position of the entity on particular time? Income Statement Balance Sheet...15 Cash Flow Statement Statement of Retained Earning Balance Sheet: Statement of financial position at a given point in time. Question # 2 of 20 ( Start time: 06:10:32 PM ) Total Marks: 1 From employer point of view, the total cost of wages and salaries is a combination of which of the following? Gross wages and salaries+employer's provident fund contributions...75 Gross wages and salaries+employee's provident fund contributions Gross wages and salaries + Income Tax deductions Gross wages and salaries + pension scheme payments To an employer, the total cost of wages and salaries is therefore: Gross wages and salaries, plus Employer's provident fund contributions. Question # 3 of 20 ( Start time: 06:11:54 PM ) Total Marks: 1 Which of the following best describes piece rate system? The increased volume of production results in decreased cost of production.. The increased volume of production in minimum time Establishment of fair standard rates Higher output is a result of efficient management.?? Question # 4 of 20 ( Start time: 06:13:16 PM ) Total Marks: 1 A cost centre is A unit of product or service in relation to which costs are ascertained An amount of expenidure attributable to an activity A production or service location,function,activity or item of equipment for which costs are accumulated... A centre for which an indvidual budget is drawn up

Question # 5 of 20 ( Start time: 06:14:36 PM ) Total Marks: 1 FOH absorption rate is calculated by the way of Estimated FOH Cost/Direct labor hours Estimated FOH Cost/No of units produced Estimated FOH Cost/Prime Cost All of the given options...100 OAR = Estimated F.O.H cost/base Bases for FOH Absorption Rate Following can be used as base to calculate overhead absorption rate: 1. Direct Labor hours 2. Machine hours 3. No. of unit produced 4. Direct labor cost 5. Prime cost Question # 6 of 20 ( Start time: 06:15:57 PM ) Total Marks: 1 The main difference between the profit center and investment center is: Decision making... Revenue generation Cost incurrence Investment Question # 7 of 20 ( Start time: 06:16:18 PM ) Total Marks: 1 An organistation sold units 4000 and have closing finished goods 3500 units and opening finished goods units were 1000.The quantity of unit produced would be: 7500 units 6500 units... 4500 units 8500 units? + 1000-3500 = 4000 Question # 8 of 20 ( Start time: 06:16:44 PM ) Total Marks: 1 If, Sales = Rs. 800,000 appli Markup = 25% of cost What would be the value of Gross profit?

Rs. 200,000 Rs. 160,000... Rs. 480,000 Rs. 640,000 Question # 9 of 20 ( Start time: 06:18:02 PM ) Total Marks: 1 Loss by fire is an example of: Normal Loss Abnormal Loss... Incremental Loss Can not be determined Question # 10 of 20 ( Start time: 06:19:03 PM ) Total Marks: 1 Which of the following cost has both features fixed and variable? Step fixed cost Fixed cost Variable cost Semi variable cost...4 It is also known as mixed cost. It is the cost which ispart fixed and par variable. Question # 11 of 20 ( Start time: 06:20:18 PM ) Total Marks: 1 A standard rate is paid to the employee when he completed his job: In time less than the standard In standard time In time more than standard Both in standard time and more than the standard time... Question # 12 of 20 ( Start time: 06:20:29 PM ) Total Marks: 1 The Inventory Turn over ration is 5 times and numbers of days in a year is 365.Inventory holding period in days would be 100 days 73 days... (365/ 5 = 73) 50 days 10 days

Question # 13 of 20 ( Start time: 06:21:13 PM ) Total Marks: 1 Which of the following is true when piece rate system is used for wage determination? worker is paid on the basis of time taken by him to perform the work worker is paid on the basis of production... Piece rate system is more beneficial than a guaranteed minimum wage system None of the given options Question # 14 of 20 ( Start time: 06:22:13 PM ) Total Marks: 1 Which of the following is / are element / s of production payroll? Direct labor force wages Administrative wages Selling wages All of the given options... Question # 15 of 20 ( Start time: 06:22:45 PM ) Total Marks: 1 Which of the following cannot be used as a base for the determination of overhead absorption rate? Number of units produced Prime cost Conversion cost Discount Allowed... Question # 16 of 20 ( Start time: 06:23:50 PM ) Total Marks: 1 Alpha company purchased a machine worth Rs 200,000 in the last year.now that machine can be use in a new project which company has received this year. Now the cost of that machine is to be called: Project cost Sunk cost... Opportunity cost Relevant cost Question # 17 of 20 ( Start time: 06:24:40 PM ) Total Marks: 1 Merrick Differential Piece Rate System: worker is not penalized even if his performance does not exceed 80 per cent of the High Task....93 worker is not penalized even if his performance does not exceed 70 per cent of the High Task.

worker is not penalized even if his performance does not exceed 50 per cent of the High Task. worker is not penalized even if his performance does not exceed 30 per cent of the High Task. Merrick differential piece rate system: Under this system the worker is not penalized even if his performance does not exceed 80 per cent of the High Task. Question # 18 of 20 ( Start time: 06:26:05 PM ) Total Marks: 1 A Blanket Rate is: A single rate which used throughout the organisation departments...104 A double rates which used throughout the organisation departments A single rates which used in different departments of the organisation None of the given options Blanket rates A blanket absorption rate is a single rate of absorption used throughout an organization s production facility and based upon its total production costs and activity Question # 19 of 20 ( Start time: 06:27:33 PM ) Total Marks: 1 The Term Minimum Level Represents. This represents the quantity below which the stock of any item should not be allowed to fall... This represents the quantity below which the stock of any item should be allowed to fall This is the estimated time period in number of days or in weeks or in months. This is the Lead time period in number of days or in weeks or in months. Question # 20 of 20 ( Start time: 06:28:09 PM ) Total Marks: 1 High labor turnover is NOT desirable because: It denotes the instability of the labor force It is an indication of high labor cost It shows frequent changes in the labor force All of the given options... 3 rd quiz solved by Fahid Mehmood

Question # 1 of 20 ( Start time: 03:42:11 PM ) Total Marks: 1 Which of the following is called Non Statutory deductions: Subscriptions to a trade union Contributions by the employee to a pension scheme Advance Salary All of the given...75 Question # 2 of 20 ( Start time: 03:43:18 PM ) Total Marks: 1 Which one of the following factors would cause budgeted revenue to be less than the expected demand? Excess capacity exists Abundant resources are available Demand exceeds capacity... Excess supply of labor exists Question # 3 of 20 ( Start time: 03:43:59 PM ) Total Marks: 1 Cost of finished goods inventory is calculated by: Multiplying units of finished goods inventory with the cost per unit... Dividing units of finished goods inventory with the cost per unit Dividing per unit cost with finished goods inventory Deducting total cost from finished goods inventory Question # 4 of 20 ( Start time: 03:44:40 PM ) Total Marks: 1 What will be the impact of normal loss on the overall per unit cost? Per unit cost will increase... Per unit cost will decrease Per unit cost remain unchanged Normal loss has no relation to unit cost Question # 5 of 20 ( Start time: 03:45:14 PM ) Total Marks: 1 Which of the following element must be taken into account while calculating total earnings of a worker under different incentive wage schemes? Rate per unit Units of production... Number of workers employed All of the given options

Question # 6 of 20 ( Start time: 03:45:40 PM ) Total Marks: 1 When closing stock is over valuate, what would its effect be on profit? It will Increase the profit... It will decrease the profit No effect on profit Cannot be determined Question # 7 of 20 ( Start time: 03:46:17 PM ) Total Marks: 1 The point at which the cost line intersects the sales line will be called: Budgeted sales Break Even sales. Margin of safety Contribution margin Question # 8 of 20 ( Start time: 03:47:06 PM ) Total Marks: 1 Which of the following is true of the budgeting process? The cash budget has an effect on all operating budgets Operating budgets must be prepared before the cash budget can be prepared Financial budgets must be prepared before operating budgets can be prepared Budgets can be prepared in any order as long as they are all completed... Question # 9 of 20 ( Start time: 03:48:31 PM ) Total Marks: 1 Which of the following is to be called product cost Material cost Labor cost FOH cost All of the given options... Question # 10 of 20 ( Start time: 03:49:07 PM ) Total Marks: 1 PVC company has ordering quantity 10,000 units.they have storage capacity 20,000 units,the average ordering quantity would be: 20,000 5,000... 10,000 25,000

Question # 11 of 20 ( Start time: 03:50:38 PM ) Total Marks: 1 Which of the following is a point of differentiation between blanket rates and department rates? Blanket rate is a single overhead rate established for the entire factory, while Department rates are separate overhead rates for all departments of factory through which the products pass??? Blanket rate is a single overhead rate established for the entire factory Department rates are separate overhead rates for all departments of factory through which the products pass Blanket rates are separate overhead rates for all departments of factory through which the product passes Question # 12 of 20 ( Start time: 03:52:07 PM ) Total Marks: 1 Closing work in process Inventory of last year: Is treated as Opening inventory for current year... Is not carried forward to next year Become expense in the next year Charge to Profit & Loss account Question # 13 of 20 ( Start time: 03:52:30 PM ) Total Marks: 1 If a predetermined FOH rate is not applied and the volume of production is reduced from the planned capacity level, the cost per unit expected to: Remain unchanged for fixed cost and increase for variable cost Increase for fixed cost and remain unchanged for variable cost... Increase for fixed cost and decrease for variable cost Decrease for both fixed and variable costs Question # 14 of 20 ( Start time: 03:53:05 PM ) Total Marks: 1 Which of the following is indirect cost? The depreciation of machinery The overtime premium incurred at the specific request of a customer The hire of tools for a specific job All of the given options... Question # 15 of 20 ( Start time: 03:53:34 PM ) Total Marks: 1 Which of the following cannot be used as a base for the determination of overhead absorption rate?

Number of units produced Prime cost Conversion cost Discount Allowed... Question # 16 of 20 ( Start time: 03:54:17 PM ) Total Marks: 1 While transporting petrol, a little quantity will be evaporated; such kind of loss is termed as: Normal Loss... Abnormal Loss It is incremental loss It can not be abnormal loss Question # 17 of 20 ( Start time: 03:55:08 PM ) Total Marks: 1 An assumption of CVP analysis is that a change in total costs is caused because of a change in which of the following factor? Direct labor cost The number of units sold...? Sales commission per unit Direct material cost Question # 18 of 20 ( Start time: 03:56:39 PM ) Total Marks: 1 Which of the following statements concerning job order costing systems is incorrect? Cost drivers are those items which cause actual overhead to exceed applied overhead...112 Job order costing systems are appropriate to both manufacturing and service businesses Traditionally, direct labor has been a very popular overhead application base In a service business, indirect costs of providing a service are treated as overhead and applied in a manner similar to that for factory overhead Cost Driver is defined as a measure of activity the magnitude of which influences if magnitude of cost of relevant cost objectives. In other words Factory overhead application base should be a measure of activity which has causal relation with incurrence of factory overhead Question # 19 of 20 ( Start time: 03:57:36 PM ) Total Marks: 1 Where the applied FOH cost is greater than the actual FOH cost it is:

Unfavorable variance Favorable variance...24 Normal variance Budgeted variance Where the applied cost is greater than the actual cost it is favorable variance, but where the applied cost is lesser than the actual cost it is unfavorable variance. Question # 20 of 20 ( Start time: 03:58:17 PM ) Total Marks: 1 From employer point of view, the total cost of wages and salaries is a combination of which of the following? Gross wages and salaries+employer's provident fund contributions... Gross wages and salaries+employee's provident fund contributions Gross wages and salaries + Income Tax deductions Gross wages and salaries + pension scheme payments Question # 1 of 20 ( Start time: 04:01:01 PM ) Total Marks: 1 Which of the following is a mechanical device to record the exact time of the workers? Clock Card...71 Store Card Token System Attendance Register Mechanical Methods Different mechanical devices have been designed for recording the exact time of the workers. These include: a. Clock Card b. Dial Time Records. Question # 2 of 20 ( Start time: 04:02:16 PM ) Total Marks: 1 While calculating the EOQ, number of orders is calculated by: Multiplying the required units with cost per order Dividing required unit by ordered quantity...57 Multiplying the required units with ordered quantity Multiplying the ordered quantity with cost per order Required Units/ Order Quantity = Number of orders