Practice Test

Q1) Which of the following concept is used in absorption costing Show Answer

Q2) Unique Co. sells a single product for Rs. 28 per unit. If variable costs are 65% of sales and fixed costs total Rs. 9,800, the break-van point will be : Show Answer

Q3) Which of the following is not true about different costs ? Show Answer

Q4) Which one of the following is the Traditional approach for costing? Show Answer

Q5) The following are features of a relevant cost except Show Answer

Q6) Which of the following statement is true about the relevant cost? Show Answer

Q7) Decision making all costs already incurred in past should always be: Show Answer

Q8) Which of the following statement is true about historical cost ? Show Answer

Q9) In cost accounting, unavoidable loss is charged to which of the following? Show Answer

Q10) An average cost is also known as: Show Answer

Q11) Period costs are: Show Answer

Q12) When production is equal to sales, which of the following is true? Show Answer

Q13) Under which of the following, all cost of production is considered as product, regardless of whether they are variable or fixed in nature? Show Answer

Q14) What would be the attitude of the management in treating Sunk costs in decision making? Show Answer

Q15) Mohan is running his own personal Financial services business. He has been offered a job for a salary of Rs. 45,000 per month which he does not availed. Rs. 45,000 will be considered as: Show Answer

Q16) Which of the given cost does not become the part of cost unit? Show Answer

Q17) Basic assumption made in direct costing with respect to fixed costs is that: Show Answer

Q18) Cost accounting concepts include all of the following except: Show Answer

Q19) Which of the following would be considered a major aim of a job order costing system? Show Answer

Q20) Re-ordering level is equal to: Show Answer

Q21) Imputed cost is also called Show Answer

Q22) Cost of production report summarizes data of: Show Answer

Q23) Which of the following statement measures the financial position of the entity on particular time? Show Answer

Q24) Indirect material, indirect labour and indirect expenses collectively form______cost. Show Answer

Q25) Prime cost consists of direct ______ cost, direct wages and direct expenses. Show Answer

Q26) Cost ________ is the allotment of the whole items of cost to cost centers. Show Answer

Q27) The techniques and process of ascertaining costs is called Show Answer

Q28) A good costing system gives equal emphasis on cost ___ and cost _____ Show Answer

Q29) The factory cost is obtained by adding ______cost and factory _____ or_______ cost and _______ material. Show Answer

Q30) Basic methods of costing are ______costing and______costing. Show Answer

Q31) Indirect material is ________overhead whereas managerial salary is a _______overhead. Show Answer

Q32) The method of costing used in hospital is _______costing Show Answer

Q33) Electricity charges are partly ______- and partly_______ Show Answer

Q34) In cotton textile, the cost unit is _______ of cloth Show Answer

Q35) Single or out put costing is used when the production is _______identical and a______Article is produced. Show Answer

Q36) Cost of sales is cost of production plus______ and _______overhead Show Answer

Q37) basic principles of costing are_____ costing and______ costing. Show Answer

Q38) Rent on own premises is a_______ cost. Show Answer

Q39) ______is obtained by deducting _____ cost from_______ Show Answer

Q40) Telephone expenses is a Show Answer

Q41) A cost which has no involvement of cash outlay is called Show Answer

Q42) Step costs are classified as Show Answer

Q43) In job costing P .F and E S I paid by the company for factory employees are accounted for as Show Answer

Q44) In a process cost system in the unit cost is determined for a Show Answer

Q45) The main purpose of cost accounting is to Show Answer

Q46) Holiday pay is treated as: Show Answer

Q47) Cost accounting is: Show Answer

Q48) The head office of the institute of Cost and Works Accountants of India is situated at : Show Answer

Q49) When the Cost and Works Accounts Act was passed in India ? Show Answer

Q50) Ascertainment of cost with the help of actual expenses incurred in termed as: Show Answer

Q51) Which method of Costing is used in oil industry Show Answer

Q52) Cost accounts are maintained compulsorily for companies to statuary obligation in : Show Answer

Q53) Cost accounting is based: Show Answer

Q54) Cost Accounting is: Show Answer

Q55) Which method of costing is used in Motor Car Industry: Show Answer

Q56) Multiple costing methods is used in: Show Answer

Q57) Electricity generation company should employ: Show Answer

Q58) Job costing used in: Show Answer

Q59) which method of costing is used in hospitals? Show Answer

Q60) Contract costing is used in: Show Answer

Q61) Cost accounting is a branch of: ________ Show Answer

Q62) Cost accounting originated due to _______ Show Answer

Q63) ______costing method is used in cinemas. Show Answer

Q64) _________ is the technique of ascertaining cost. Show Answer

Q65) The method of costing used in job order industries is known as _________ Show Answer

Q66) In__________ costing, the cost of group of product is ascertained. Show Answer

Q67) The ascertainment of costs after they have been incurred is known as __________ Show Answer

Q68) Financial accounts_________necessary information for management Show Answer

Q69) To ascertain the cost of a given thing is called-------- Show Answer

Q70) Which of these is not an objective of Cost Accounting? Show Answer

Q71) Profit centre is a centre Show Answer

Q72) Responsibility Centre can categorised into: Show Answer

Q73) Cost unit is defined as: Show Answer

Q74) Fixed cost is cost:: Show Answer

Q75) Uncontrollable costs are the costs which be influenced by the action of a specified member of an undertaking. Show Answer

Q76) Elements of cost of a product are: Show Answer

Q77) Abnormal cost is the:: Show Answer

Q78) Sunk cost are: Show Answer

Q79) Describe the cost unit applicable to the Bicycle industry Show Answer

Q80) Allotment of whole item of cost to a cost centre or cost unit is known as : Show Answer

Q81) Which of the following production batch sizes will minimize cost where annual output is 20,000 units; set-up costs per batch are Rs. 25; holding costs are rs.3 per unit Show Answer

Q82) Maintenance department in a factory is a______ Show Answer

Q83) Indirect costs are _____ to cost centres or cost units. Show Answer

Q84) Service costing is also known as ________ Show Answer

Q85) Differential costs are also known as Show Answer

Q86) The cost audit order can be given by the Central Government only in respect of Class of Companies which is required to maintain books of account under the provision of______of the Companies Act; 2013 Show Answer

Q87) Conversion Cost= Show Answer

Q88) ____________are also known as out of pocket costs. Show Answer

Q89) Which of the following is not a relevant cost? Show Answer

Q90) Which of the following costs would NOT be a period cost? Show Answer

Q91) Which of the following is not a technique of costing? Show Answer

Q92) Loss by fire is an example of________ Show Answer

Q93) Which of the following is cost-behavior oriented approach to product costing? Show Answer

Q94) For external financial statement purpose. Inventories must be reported at: Show Answer

Q95) Step costs are classified as a Show Answer

Q96) The team 'sunk costs' refer to : Show Answer

Q97) A company wishes to earn a 15% profit margin on selling price when quoting for a job which of the following is the profit mark-up on cost which will achieve the required profit margin? Show Answer