Practice Test

Q1) ____ is the aggregate expenditure incurred for manufacturing a product. Show Answer

Q2) ___ means calculation of cost of product only after they are incurred. Show Answer

Q3) Standard costing is also known as____ Show Answer

Q4) Only____ is charged to product cost. Show Answer

Q5) Cost other than direct expenses together are called as____ Show Answer

Q6) _____ is that cost which remains constant by any change in the volume of production. Show Answer

Q7) Thought total cost is the same for all the units of production, the per unit cost _____ as the units of production increases and the per unit cost _____ with the decreases in units of production. Show Answer

Q8) ____ is that cost which changes according to level of output. Show Answer

Q9) Variable cost is also called as __ Show Answer

Q10) ____ is that cost which is partly fixed and partly variable. Show Answer

Q11) Fixed cost = Total Semi-variable cost -___ Show Answer

Q12) ____ is that cost which can be identified with the final product. Show Answer

Q13) Excise duty is an example of ___ expenses. Show Answer

Q14) Works cost = Prime cost + ___ Show Answer

Q15) ____ = Works cost + Office & Administrative overheads. Show Answer

Q16) Cost of Sales/Total Cost=Cost of production + __ Show Answer

Q17) ___ gives the detail of different expenditure included in the total cost. Show Answer

Q18) Units sold = opening stock of F.G. + Production - ___ Show Answer

Q19) ____ is prepared with the help of past records, current situation and Future situation. Show Answer

Q20) ____statement helps to maintain co-ordination between cost accountant and financial account. Show Answer

Q21) Under ___ type of costing costs are determined and later on compared with actual costs incurred. Show Answer

Q22) Cost accounting is the process of accounting for___ Show Answer

Q23) Institute of Cost and Works Accountants of India was set up in ____ and statutory recognition was given in ____ Show Answer

Q24) On the basis of behaviour cost are classified into ____ Show Answer

Q25) ____ is incurred even at zero output. Show Answer

Q26) ____ is change according to change in output (production). Show Answer

Q27) On the basis of element of cost, costs are divided between ____ Show Answer

Q28) Loose Tools written off is an example of ____ Show Answer

Q29) ____ is a detail cost statement which shows the total figure of cost of product, profit earned and selling price. Show Answer

Q30) Closing stock of finished goods (Units) is valued at the ____ Show Answer

Q31) ____ is prepared to indicate causes of disagreement between cost records profit &financial records profit. Show Answer

Q32) Prime Cost + Factory overheads are termed as ___ Show Answer

Q33) Find out units produced, Units sold and closing stock of finished goods:
Opening Stock of finished goods 10,000 units, Closing stock of finished goods 4,000 units. Units produced during the year 20,000 units. Units sold ? Show Answer

Q34) Opening stock of finished goods 14,000 units, Closing stock of finished goods 16,000 units. Units sold 34,000 units. Units Produced ? Show Answer

Q35) Units produced = 40,000, Units sold = 30,000 Closing stock of finished goods = ? Show Answer

Q36) If prime cost is 75,000, works overhead are 30% on prime cost and office overheads are 20% on Factory cost. What will be the cost of production? Show Answer

Q37) If work cost is 60,000, office overhead are 25% on work cost and selling overhead are 20% of cost of production. What will be the cost of sales? Show Answer

Q38) If prime cost Is 80,000, work overheads are 20% on work cost and office on cost 25% on cost of production and selling overheads 10% on cost of production. Find sales of profit 30% on sales? Show Answer

Q39) What will be selling price if cost 1,00,000 Profit 25% on cost Show Answer

Q40) What will be selling price if Cost 75,000 profit 20% on sales Show Answer

Q41) What will be selling price if Cost 1,20,000 Profit 1/3% on cost Show Answer

Q42) What will be selling price if Cost 90,000 Profit 33% on sales Show Answer

Q43) Costing is a technique and process of ascertainment of cost. Show Answer

Q44) Historical costing refers to present figures. Show Answer

Q45) Marginal costing is also known as direct costing. Show Answer

Q46) Cost accounting facilitate correct assessment of excise duty, sales tax, income tax etc. Show Answer

Q47) Government can regulate the prices of goods if the costing details are available. Show Answer

Q48) The main aim of inventory control is to minimize loss of material and there is no over investment in stock. Show Answer

Q49) Sales tax, wealth tax are included in cost accounting. Show Answer

Q50) Fixed cost is also called as ‘Period cost’. Show Answer

Q51) Fixed cost is generally controllable. Show Answer

Q52) Variable cost remains constant with increase/decrease in output (production). Show Answer

Q53) Variable cost is generally uncontrollable. Show Answer

Q54) Variable cost is direct cost. Show Answer

Q55) Direct cost is also called as chargeable cost Show Answer

Q56) Royalty on production is an example of indirect cost. Show Answer

Q57) Bad debts reserve is selling & distribution ohs. Show Answer

Q58) Financial expenses are included in cost-sheet Show Answer

Q59) Loss on sale of furniture is a non-operating expenditure hence it is not included in cost sheet. Show Answer

Q60) Dividend received is non-operating income hence included in cost-sheet. Show Answer

Q61) Custom duty paid for purchase of plant is capital expenditure hence it is not a part of cost sheet. Show Answer

Q62) Goodwill written off is a part of cost sheet. Show Answer

Q63) In estimated cost sheet, Factory overheads are recovered as a percentage of direct wages. Show Answer

Q64) Estimated cost sheet does not contain any type of stock. Show Answer

Q65) The basis of charging depreciation may be different in the cost and Financial records. Show Answer

Q66) Cost of production consists of prime cost, Factory overheads and office overhead. Show Answer

Q67) Cost of sales consists of Factory cost plus selling overheads. Show Answer