Classification of overheads into indirect material, indirect labour and indirect expenses come under:

Related MCQs

• A company estimates its direct material requirements for the month of November 2014 to be Rs. 2,40,000 and the direct labour to be Rs. 1,500,00. It is the policy of the company to absorb overheads as under : Factory overheads 60% of direct wages Administrative overheads 20% of work cost Selling and distribution overheads 25% of work cost it is estimated that the selling and distribution overheads will increase by 15% in November the budgeted sales for the month of November 2014 is
• An aggregate of indirect material, indirect labourand indirect expenses is called
• When …………………….is used on the basis of budgeted overheads and the rate is applied to the actual base, the actual overhead expenses may be different from the charged overheads.
• ABC Ltd. has furnished the following information for 4,000 units of product for the year 2014-2015 : Particulars Rs. Direct materials 2,50,000 Direct labour 2,00,000 Manufacturing overheads 2,80,000 (40 % fixed) Selling and administrative overheads 2,70,000 (30 % fixed) The total cost of 4,380 unit is
• ……………..is the amount by which the absorbed overheads fall short of the actual amount of overheads incurred.
• …………….is the excess of overheads absorbed over the actual amount of overheads incurred.
• The excess of overheads absorbed over the actual amount of overheads incurred is called: -
• When the amount of overheads absorbed is less than the amount of overheads actually incurred.
• Expenses incurred during production other than direct materials and direct labour are called…………..factory expenses; those charged to production on estimated basis are called …………….
• Overheads classified as Manufacturing, Administrative, Selling and Distribution come under: