MCQOPTIONS
Saved Bookmarks
MCQOPTIONS
This section includes 657 Mcqs, each offering curated multiple-choice questions to sharpen your Testing Subject knowledge and support exam preparation. Choose a topic below to get started.
| 1. |
Operating costing is more suitable for ________ industries |
| A. | rofit |
| B. | ervices |
| C. | rofit and service |
| D. | overnment organisation |
| Answer» C. rofit and service | |
| 2. |
________ is a preventive function. |
| A. | ostreduction |
| B. | ostcontrol |
| C. | ostunit |
| D. | ostcentre |
| Answer» C. ostunit | |
| 3. |
Direct material is a ________. |
| A. | anufacturing cost |
| B. | dministrative cost |
| C. | elling cost |
| D. | istribution cost |
| Answer» B. dministrative cost | |
| 4. |
________ refers to the verification of cost accounts and check on the adherence to the cost accounting plan. |
| A. | ost Audit |
| B. | ostcentre |
| C. | ostunit |
| D. | ostprofit |
| Answer» B. ostcentre | |
| 5. |
Works overhead is Rs 40,000, total machine hours is 8500 hours and time allowed for machine setting is 500 houRs What is the machine rate? |
| A. | s. 2 per hour |
| B. | s. 3 per hour |
| C. | s. 4 per hour |
| D. | s. 5 per hour |
| Answer» E. | |
| 6. |
Factory overhead is Rs 3,00,000 and direct material cost is Rs 5,00,000 What is the overhead rate under direct material cost method? |
| A. | 5% |
| B. | 0% |
| C. | 0% |
| D. | 5% |
| Answer» D. 5% | |
| 7. |
When the actual overhead is less than the absorbed overhead it is ________. |
| A. | ver absorption |
| B. | nder absorption |
| C. | qual absorption |
| D. | ajor absorption |
| Answer» B. nder absorption | |
| 8. |
Departmentalization of overhead is known as ________. |
| A. | rimary distribution |
| B. | econdary distribution |
| C. | bsorption |
| D. | llocation |
| Answer» B. econdary distribution | |
| 9. |
Allotment of overhead incurred for a particular cost centre to that specific cost centre is ________. |
| A. | llocation |
| B. | llotment |
| C. | rimary distribution |
| D. | econdary distribution |
| Answer» B. llotment | |
| 10. |
Overhead can be classified according to function-wise as ________. |
| A. | ixed o/h, variable o/h and semi-variable o/h |
| B. | ontrollable o/h and uncontrollable o/h |
| C. | anufacturing o/h, administration o/h and selling & distribution o/h |
| D. | ast cost and future cost |
| Answer» D. ast cost and future cost | |
| 11. |
Reorder level = ________. |
| A. | aximum level - minimum level |
| B. | aximum consumption X maximum reorder period |
| C. | inimum consumption x minimum reorder period |
| D. | ormal consumption X normal reorder period |
| Answer» C. inimum consumption x minimum reorder period | |
| 12. |
Overhead is also known as ________. |
| A. | ngoing cost |
| B. | asic cost |
| C. | xtra cost |
| D. | hargeable expenses |
| Answer» B. asic cost | |
| 13. |
Number of methods available for calculation of Labour turnover is ________. |
| A. | wo |
| B. | hree |
| C. | our |
| D. | ive |
| Answer» C. our | |
| 14. |
Halsey premium plan is ________. |
| A. | ndividual incentive scheme |
| B. | roup incentive scheme |
| C. | ime and piece wage system |
| D. | ifferential piece wage system |
| Answer» B. roup incentive scheme | |
| 15. |
Bonus under Halsey plan is paid ________. |
| A. | t 50% of time saved |
| B. | t 75% of time saved |
| C. | t 80% of time saved |
| D. | t 90% of time saved |
| Answer» B. t 75% of time saved | |
| 16. |
Those cost which is incurred to prevent the labour turnover __________. |
| A. | anagement cost |
| B. | eplacement cost |
| C. | reventive cost |
| D. | ompensation cost |
| Answer» D. ompensation cost | |
| 17. |
Differential piece wages means _______. |
| A. | ifferent wages for different level of performance |
| B. | ifferent wages for different time consumed |
| C. | ifferent wages for different level of output |
| D. | ifferent wages for different types of industries |
| Answer» B. ifferent wages for different time consumed | |
| 18. |
Time wages are paid on the basis of ________. |
| A. | ctual time |
| B. | tandard time |
| C. | ime saved |
| D. | vertime |
| Answer» B. tandard time | |
| 19. |
Piece workers are paid on the basis of ________. |
| A. | utput sold |
| B. | utput produced |
| C. | utput in stock |
| D. | nput received |
| Answer» C. utput in stock | |
| 20. |
Material is issued by store keeper against ________. |
| A. | aterial requisition |
| B. | aterial order |
| C. | oods received note |
| D. | urchase requisition |
| Answer» B. aterial order | |
| 21. |
Scrap is ________. |
| A. | esidue of material |
| B. | astage of material |
| C. | urplus material |
| D. | bnormal loss of material |
| Answer» B. astage of material | |
| 22. |
Average method of pricing the material issues is useful when ___________. |
| A. | aterial prices are rising |
| B. | aterial prices are falling |
| C. | aterial prices are constant |
| D. | aterial prices are fluctuating |
| Answer» E. | |
| 23. |
Under Gantts task and bonus plan no bonus is payable to a worker if his efficiency is less than ________. |
| A. | 0% |
| B. | 0% |
| C. | 35% |
| D. | 00% |
| Answer» E. | |
| 24. |
Time and motion study is conducted by ________. |
| A. | ime keeping department |
| B. | ersonnel department |
| C. | ayroll department |
| D. | ngineering department |
| Answer» E. | |
| 25. |
Wage sheet is prepared by ________. |
| A. | ime keeping department |
| B. | ersonnel department |
| C. | ayroll department |
| D. | ost accounting department |
| Answer» D. ost accounting department | |
| 26. |
Cost of idle time arising due to non availability of raw material is _______. |
| A. | harged to costing profit and loss account |
| B. | harged to financial profit and loss account |
| C. | harged to factory overhead |
| D. | ecovered by inflating the wage rate |
| Answer» B. harged to financial profit and loss account | |
| 27. |
In__________ the workers are paid on the basis of hourly daily,weekly rate |
| A. | ime rate system |
| B. | iece rate system |
| C. | remium bonus system |
| D. | merson efficiency plan |
| Answer» B. iece rate system | |
| 28. |
Idle time is ________. |
| A. | ime spent by workers in factory |
| B. | ime spent by workers in office |
| C. | ime spent by workers off their work |
| D. | ime spent by workers on their job |
| Answer» D. ime spent by workers on their job | |
| 29. |
Labour turnover is ______. |
| A. | roductivity of labour |
| B. | fficiency of the labour |
| C. | hange in labour force |
| D. | otal cost of the labour |
| Answer» D. otal cost of the labour | |
| 30. |
Bin card is maintained by ________. |
| A. | osting department |
| B. | tores department |
| C. | inance department |
| D. | ccounting department |
| Answer» C. inance department | |
| 31. |
FIFO is ________. |
| A. | ast Investment in Future Order |
| B. | irst In First Out |
| C. | ast In Fast Out |
| D. | ast Issue Of Fast Order |
| Answer» C. ast In Fast Out | |
| 32. |
Perpetual inventory system involves __________ |
| A. | incard and stores ledger |
| B. | ill of material and material requisition |
| C. | urchase requisition and purchase order |
| D. | nward and outward invoices |
| Answer» B. ill of material and material requisition | |
| 33. |
___________ is the value of economic resources used as a result of producing or doing the thing costed. |
| A. | ost |
| B. | nventory |
| C. | abour |
| D. | verhead |
| Answer» B. nventory | |
| 34. |
ABC analysis is ________. |
| A. | t best Control |
| B. | lways better Control |
| C. | verage better Control |
| D. | ll best control |
| Answer» C. verage better Control | |
| 35. |
Material control involves ________. |
| A. | onsumption of material |
| B. | ssue of material |
| C. | urchase of material |
| D. | urchase, storage and issue of material |
| Answer» E. | |
| 36. |
Which of the following methods of stock control aims at concentrating efforts on selected items of material? |
| A. | erpetual inventory system |
| B. | aterial turnover ratio |
| C. | evel setting |
| D. | BC analysis |
| Answer» E. | |
| 37. |
Continuous stock taking is a part of ________. |
| A. | nnual stock taking |
| B. | erpetual inventory |
| C. | BC analysis |
| D. | ED analysis |
| Answer» C. BC analysis | |
| 38. |
According to which method of pricing issues is close to current economic values? |
| A. | ast In First Out |
| B. | irst In First Out |
| C. | ighest In First Out |
| D. | eighted average price |
| Answer» B. irst In First Out | |
| 39. |
Factory overhead is also called as ________. |
| A. | undry overhead |
| B. | xtra overhead |
| C. | orks overhead |
| D. | otal overhead |
| Answer» D. otal overhead | |
| 40. |
A cost unit is ________. |
| A. | he cost per machine hour |
| B. | he cost per labour hour |
| C. | unit of production or service in relation to which costs are ascertained |
| D. | measure of work output in a standard hour |
| Answer» D. measure of work output in a standard hour | |
| 41. |
Indirect materials can be apportioned on the basis of ________. |
| A. | irect material |
| B. | rime cost |
| C. | irect labour hour |
| D. | achine hour |
| Answer» B. rime cost | |
| 42. |
Depreciation of plant can be apportioned on the basis of ________. |
| A. | lant value |
| B. | lant size |
| C. | orking days |
| D. | utput produced |
| Answer» B. lant size | |
| 43. |
The process of allocating and apportioning the costs on suitable basis to all the departments is _______. |
| A. | epartmentalization |
| B. | rimary distribution |
| C. | econdary distribution |
| D. | lassification |
| Answer» C. econdary distribution | |
| 44. |
An example of fixed cost ________. |
| A. | roperty tax |
| B. | ent for building |
| C. | irect material cost |
| D. | irect wages |
| Answer» C. irect material cost | |
| 45. |
Increase in total variable cost is due to ________. |
| A. | ncrease in fixed cost |
| B. | ncrease in sales |
| C. | ncrease in production |
| D. | ncrease in efficiency |
| Answer» D. ncrease in efficiency | |
| 46. |
Variable cost per unit ________. |
| A. | aries when output varies |
| B. | emains constant |
| C. | ncrease when output increases |
| D. | ecreases when output decreases |
| Answer» C. ncrease when output increases | |
| 47. |
Which of the following is a service department? |
| A. | efining department |
| B. | achining department |
| C. | eceiving department |
| D. | inishing department |
| Answer» D. inishing department | |
| 48. |
Absorption means ________. |
| A. | harging overheads to cost centres |
| B. | harging of overheads to cost units |
| C. | harging of overheads to cost centres or cost units |
| D. | llotment of overheads to different departments |
| Answer» C. harging of overheads to cost centres or cost units | |
| 49. |
Directors remuneration and expenses form part of ________. |
| A. | roduction overhead |
| B. | dministrative overhead |
| C. | elling overhead |
| D. | istribution overhead |
| Answer» C. elling overhead | |
| 50. |
Packing cost is ________. |
| A. | roduction cost |
| B. | elling cost |
| C. | dministration cost |
| D. | istribution cost |
| Answer» E. | |