McqMate
Chapters
1. |
Material, Labour and Expenses are the three important…………. of cost. |
A. | Methods |
B. | Elements |
C. | Techniques |
D. | Process |
Answer» B. Elements |
2. |
……………..cost is the cost of commodities supplied to an undertaking. |
A. | Material |
B. | Labour |
C. | Expenses |
D. | Cost |
Answer» B. Labour |
3. |
Direct Labour Cost is also known as………… |
A. | Indirect Labour |
B. | Indirect Wages |
C. | Direct Wages |
D. | Debtors |
Answer» C. Direct Wages |
4. |
The expenses which cannot be directly identified with a particular unit or cost centre is known as …………………... |
A. | Indirect Labour |
B. | Indirect material |
C. | Indirect expenses |
D. | Direct expenses |
Answer» C. Indirect expenses |
5. |
……………………..expenses are also called as chargeable expenses. |
A. | Partly direct and partly indirect |
B. | Indirect |
C. | Direct |
D. | None of the above |
Answer» C. Direct |
6. |
The aggregate of indirect material, indirect labour and indirect expenses in termed as……………. |
A. | Material Cost |
B. | Overheads |
C. | Labour Cost |
D. | Closing Stock |
Answer» B. Overheads |
7. |
The overhead cost incurred from the stage of procurement of raw material till the stage of production of finished goods is known as…… . |
A. | Office overheads |
B. | Factory overheads |
C. | Selling overheads |
D. | PRIME COST |
Answer» B. Factory overheads |
8. |
Office overheads are also known as …………….overheads. |
A. | Factory |
B. | Selling |
C. | Administrative |
D. | Work Cost |
Answer» C. Administrative |
9. |
The cost of activities relating to create and stimulate demand for company’s products and to secure orders is known as……….overheads. |
A. | Administrative |
B. | Factory |
C. | Selling and Distribution |
D. | Office |
Answer» C. Selling and Distribution |
10. |
Non-cost items are those which are …………….. from the cost. |
A. | Excluded |
B. | Included |
C. | Partly included |
D. | none of the above |
Answer» A. Excluded |
11. |
Classification of cost into factory cost, administrative cost, selling & distribution cost and research and development cost is done on the basis of…………... |
A. | Elements |
B. | Functions |
C. | Time |
D. | Strategy |
Answer» B. Functions |
12. |
The cost that remains unchanged in spite of change in volume of production is known as…………. |
A. | Fixed cost |
B. | Variable cost |
C. | Semi-variable cost |
D. | Direct Cost |
Answer» A. Fixed cost |
13. |
……………….cost is partly variable and partly fixed. |
A. | Fixed cost |
B. | Semi-variable cost |
C. | Variable cost |
D. | Semi Fixed Cost |
Answer» B. Semi-variable cost |
14. |
………………is a statement showing cost of production of a particular product. |
A. | Tender |
B. | Quotation |
C. | Cost sheet |
D. | Statements |
Answer» C. Cost sheet |
15. |
The total of works cost and administrative overheads is known as … |
A. | Prime cost |
B. | Cost of Production |
C. | Works cost |
D. | Direct Cost |
Answer» B. Cost of Production |
16. |
…………………is the total of prime cost and factory overheads. |
A. | Cost of production |
B. | Works cost |
C. | Cost of material consumed |
D. | Selling and Distributional Expenses |
Answer» B. Works cost |
17. |
Consumables are treated as……………overheads in cost sheet. |
A. | Factory |
B. | Office |
C. | Selling and Distribution |
D. | Cost of production |
Answer» A. Factory |
18. |
If the total cost of a product is Rs.25, 000/- and the sales figure is 47,000/-, then the product is in…………by Rs.22, 000/-. |
A. | Loss |
B. | Profit |
C. | Neither profit nor loss |
D. | Commission |
Answer» B. Profit |
19. |
In cost sheet the expenses on discount allowed are considered under………………overheads. |
A. | Factory |
B. | Office |
C. | Selling and Distribution |
D. | none |
Answer» C. Selling and Distribution |
20. |
………………cost is predetermined cost for each element of cost. |
A. | Marginal |
B. | Historical |
C. | Standard |
D. | none |
Answer» C. Standard |
21. |
Which of the following is not used as a base for apportionment of administration overheads? |
A. | Direct wages |
B. | Works cost |
C. | Conversion cost |
D. | Sales value |
Answer» A. Direct wages |
22. |
In account ting for labour cost: |
A. | Direct labour cost and indirect labour cost are charged to prime cost |
B. | Direct labour cost and indirect labour cost are charged to overheads |
C. | Direct labour cost is charged to prime cost and indirect labour cost is charged to overheads |
D. | All of the above |
Answer» C. Direct labour cost is charged to prime cost and indirect labour cost is charged to overheads |
23. |
Depreciation is a ………….. Expense |
A. | Fixed |
B. | Variable |
C. | Semi – variable |
D. | none |
Answer» A. Fixed |
24. |
………………….. Cost per unit does not change with change in activity level |
A. | Overhead |
B. | Variable |
C. | Fixed |
D. | none |
Answer» B. Variable |
25. |
Telephone expense is a …………………. Expense |
A. | Fixed |
B. | Variable |
C. | Semi – variable |
D. | none |
Answer» C. Semi – variable |
26. |
Cost accounting is the art, science and …………… cost of accountant |
A. | Profession |
B. | Management |
C. | Administration |
D. | none |
Answer» A. Profession |
27. |
………………. May be a location, a person, or an item of equipment or group of there |
A. | Cost centre |
B. | Cost unit |
C. | Profit center |
D. | none |
Answer» B. Cost unit |
28. |
…………………. Is defined on the guidance and regulation by executive action of cost operating and under taking |
A. | Cost reduction |
B. | Cost control |
C. | Cost estimation |
D. | none |
Answer» A. Cost reduction |
29. |
………. is the cost incurred in the part has no effect on future decision making |
A. | Sunk cost |
B. | Historical cost |
C. | Imputed cost |
D. | none |
Answer» A. Sunk cost |
30. |
Machine hour rate in the cost of running a machine |
A. | Per hour |
B. | Per day |
C. | Per work |
D. | none |
Answer» B. Per day |
31. |
Direct expense are also called ……………………. Expenses. |
A. | Variable |
B. | Chargeable |
C. | Fixed |
D. | none |
Answer» B. Chargeable |
32. |
Cost of production is also called ………………..if there is no selling and distribution expense |
A. | Cost of sales |
B. | Office cost |
C. | Factory cost |
D. | none |
Answer» B. Office cost |
33. |
If cost of sales exceeds sales it will be |
A. | Profit |
B. | Loss |
C. | Gain |
D. | none |
Answer» B. Loss |
34. |
Statement prepared to show the different elements of cost |
A. | Time sheet |
B. | Cost sheet |
C. | Work sheet |
D. | none |
Answer» B. Cost sheet |
35. |
Variable cost increases |
A. | As in the sales goes up |
B. | As the production goes up |
C. | As the fixed expenses goes up |
D. | none |
Answer» B. As the production goes up |
36. |
On the basis of ……………… cost can be classified into fixed and variable. |
A. | Behavior |
B. | Element |
C. | Function |
D. | none |
Answer» A. Behavior |
37. |
Direct expense are also called ……………… expenses |
A. | Semi-variable |
B. | Chargeable |
C. | Fixed |
D. | none |
Answer» B. Chargeable |
38. |
Operating costing is applicable to |
A. | Transport |
B. | Hospitals |
C. | Electricity |
D. | none |
Answer» A. Transport |
39. |
Rent on own building is a ……………….. |
A. | Sunk cost |
B. | Imputed cost |
C. | Opportunity cost |
D. | none |
Answer» B. Imputed cost |
40. |
When material prices fluctuate widely the method of pricing that gives a best result in |
A. | Simple average |
B. | Weighted average |
C. | FIFO |
D. | none |
Answer» B. Weighted average |
41. |
……….. is the first and most important element of cost. |
A. | Expenses |
B. | Labour |
C. | Material |
D. | none |
Answer» C. Material |
42. |
The term………..refers to all commodities that are consumed in the process of production, assembly and fabricated parts |
A. | Labour |
B. | Material |
C. | Expenses |
D. | none |
Answer» B. Material |
43. |
The term……………..is defined as a system that ensures the provision of the required quantity of material of the required quality at the required time with the minimum amount of capital. |
A. | Material Control |
B. | Labour Control |
C. | Marketing Control |
D. | none |
Answer» A. Material Control |
44. |
………………..purchase procedure should be installed to ensure that the purchases are made at favourable prices. |
A. | Marginal |
B. | Standard |
C. | Joint |
D. | none |
Answer» B. Standard |
45. |
The term …………….may be defined as the systematic control over the procurement of materials. |
A. | Material control |
B. | Purchase control |
C. | Sales control |
D. | none |
Answer» B. Purchase control |
46. |
The organisation of the purchase department depends on the…………..of the organisation and its likely quantum of purchase. |
A. | Size |
B. | Number of managers |
C. | Number of workers |
D. | none |
Answer» A. Size |
47. |
……………………is the head of the purchase department. |
A. | Sales Manager |
B. | Purchase Manager |
C. | Marketing Manager |
D. | none |
Answer» B. Purchase Manager |
48. |
Purchase…………..is to be prepared to know what to buy, what should be the quantity, quality and price. |
A. | requisition |
B. | order |
C. | budget |
D. | none |
Answer» C. budget |
49. |
One of the objective of …………….is to avoid under and overstocking of material. |
A. | Scientific Purchasing |
B. | Purchasing |
C. | Sales control |
D. | none |
Answer» A. Scientific Purchasing |
50. |
The…………….must maintain a proper classified record of all purchases, uses and stock of materials. |
A. | Costing officer |
B. | Purchase manager |
C. | stores clerk |
D. | none |
Answer» B. Purchase manager |
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