ADVANCED COST ACCOUNTING M.COM PAER 1 VERY IMPORTANCE MCQ (MUMBAI UNIVERSITY)

YOUTUBER: SURAJ PATEL EDUCATION

ADVANCED COST ACCOUNTING

M.COM PAER 1

VERY IMPORTANCE MCQ (MUMBAI UNIVERSITY)

Part 3 Link Click Here

https://www.surajpateleducation.com/2020/11/advanced-cost-accounting-mcom-paer-1_28.html

1. Maintenance charges are in the nature of …………………expenses.

(A) Fixed

(B) Variable

(C) Semi-variable

(D) Constant

ANS. C

 

2. In transport costing………………charges vary more or less in direct proportion to Kilometers run.

(A) Running

(B) Petrol

(C) Drivers salary

(D) Tax

ANS. A

 

3. "……………….. type of loss is caused by the factors like evaporation, pilferage and which is inherentin large scale production. This loss cannot be avoided but sure to occur."

(A) Normal Process Loss

(B) Abnormal Process Loss.

(C) Marginal Process Loss.

(D) Nominal Process Loss.

ANS. A

 

4. The journal entry to record the use of direct materials on jobs is to debit work in process inventory and credit

(A) Raw materials inventory

(B) Finished goods inventory

(C) Manufacturing overhead

(D) Wages payable

ANS. A

 

5. Contribution margin is known as _______.

(A) marginal income

(B) gross margin

(C) net income

(D) net profit

ANS. B

 

6. Ideal product mix is decided in terms of ______.

(A) Variable cost

(B) Sales

(C) Total cost

(D) Marginal cost

ANS. B

 

7. _______is a managerial device to determine efficiency and effectiveness of cost performance.

(A) Cost sheet

(B) Zero based budget

(C) Standard costing

(D) Decision making

ANS. C

 

8. _________are drawn up to measure the success or failure of the activities in achieving the objectives of the organization.

(A) cash budget

(B) Periodical statements of account

(C) Ledgers

(D) Balance Sheet

ANS. B

 

9. Every company shall keep at its ________proper books of accounts.

(A) branch office

(B) registered office

(C) regional office

(D) corporate office

ANS. B

 

10. The following is not a fixed cost ____.

(A) property tax

(B) direct labour cost

(C) insurance premium

(D) factory rent

ANS. B


 


11. The type of spoilage that should not affect the cost of inventories is

(a) Abnormal spoilage

(b) Normal spoilage

(c) Seasonal spoilage

(d) Indirect spoilage

ANS. A

 

12. Materials may not be put into process

 (a) At the beginning of an operation

 (b) Continuously

(c) At the end of the operation

(d) In the shipping department.

ANS.  D

 

13. Process cost method is especially suitable for

(a)Custom production

(b) Standard costs

(c) FIFO

(d) LIFO

ANS. B

 

14. In process costing, costs follow

 (a) Price rise

 (b) Price declines

(c) Product flow

(d) Finished goods

ANS. C

 

15. When average costing is used, the opening inventory costs are

 (a) Kept separate from the costs for the new period

 (b) Added to the costs of the new period

 (c) Subtracted from the new costs

 (d) Averaged with other costs to arrive at total cost.

ANS. A

 

16. A disadvantage of FIFO costing is that

(a) The first units produced cannot be distinguished from later production.

 (b) Several units costs are used at the same time.

 (c) The units have to be kept separate

 (d) The shipping costs are higher

ANS. B

 

17. Which of the following method of costing can be used in a large oil refinery?

(a) Process costing

(b) Operating costing

(c) Unit costing

(d) Job costing

ANS. A

 

18. Which of the following paid is odd :

 (a) Construction-Contract costing

 (b) Ship-building-Job costing

 (c) Brick manufacturing – Process costing

 (d) Transport undertaking – Operating costing

ANS. C

 

19. A product which has practically no sales or utility value is

(a) Waste

(b) Scrap

(c) Spoilage

(d) Defectives

ANS. A

 

20. Trimmings in timber industry should be treated as a :

(a) Waste

(b) Scrap

(c) Spoilage

(d) Defectives

ANS. B

 

Amazon Big Deal 

Up to 80% off | Festive wear from Indian manufacturers

21. The type of process loss that should not affect the cost of inventory is

(a) Abnormal loss

(b) normal loss

(c) Seasonal loss

(d) standard loss

ANS. A

 

22. The stage where joint products are separated from each other is known as

(a) break-even point

(b) angle of incidence

(c) split-off point

ANS. C

 

23. Fifty units are put in a process at a total cost of Rs. 90. Wastage is normally 10% without any scrap value. If output is 40 units the amount of abnormal loss would be

(a) Rs. 80

(b) Rs. 8

(c) Rs. 10

(d) Rs. 9

ANS. C

 

24. Abnormal loss is charged to

(a) process account

(b) costing profit and loss account

(c) Normal loss account

ANS. B

 

25. Classification and accumulation of costs by fixed and

variable costs is a distinctive feature of

(a) Process costing

(b) Unit costing

(c) Operating costing

(d) Batch costing

ANS. C

 

26. Composite unit is distinctive feature of

(a) Single or output costing

(b) Process costing

(c) Job costing

(d) Operating costing

ANS. D

 

27. Electricity generating company should employ

(a) Unit costing

(b) Process costing

(c) Operating costing

(d) Multiple costing

ANS. C

 

28. Cinema houses must adopt

(a) Operating costing

(b) Job costing

(c) Batch costing

(d) Contract costing

ANS. A

 

29. For a library the best method of costing suitable is

(a) Output costing

(b) Operating costing

(c) Process costing

(d) Multiple costing

ANS. B

 

30. For an educational institutes the right method of costing is

(a) Output costing

(b) Job costing

(c) Operating costing

(d) Process costing

AND. B

 

31. Hospitals must make use of

(a) Operating costing

(b) Batch costing

(c) Process costing

(d) Multiple costing

ANS. A

 

32. For hotels the best method of costing is

 (a) Single or output

 (b) Contract costing

 (c) Process costing

 (d) Operating costing

ANS. D

 

33. Air India Co. must make use of

 (a) Job costing

 (b) Operating costing

 (c) Batch costing

 (d) Process costing

ANS. B

 

34. Indian Railways must adopt

 (a) Operating costing

 (b) Unit costing

 (c) Batch costing

 (d) Multiple costing

ANS. A

 

35. Public utility undertakings must invariably adopt

 (a) Operating costing

 (b) Output costing

 (c) Contract costing

 (d) Multiple costing

ANS. D

 

36. Karnataka Electricity Board must make use of

 (a) Single or output costing

 (b) Job costing

 (c) Process costing

 (d) Operating cost

ANS. A

 

37. The method of costing used in case of a gas company is termed as

(a) Job costing

(b) Process costing

(c) Operating costing

ANS. C

 

38. Mines `A’ and `B’ are at a distance of 10 kms and 15 kms from the factory. The cost per tone-km in case of mine A is Rs. 3 while it is R. 2.5 in case of mine B. The factory should procure coal from

 (a) Mine A only

 (b) Mine B only

 (c) Both from mines A and B in the ration of 3 : 2

ANS. A

 

39. In case of steam company, the cost per unit is calculated on the basis of

 (a) Total quantity of lbs. produced

(b) Total quantity of kwh. generated

(c) Total quantity of tones produced.

ANS. A

 

40. Materials Requisition Note

(a) Authorizes and records the issue of materials for use

(b) Records the return of unused materials.

(c) Records the transfer of materials from one store to another

(d) A classified record of materials, issues, returns and transfers.

ANS. A

 

41. Materials Transfer Note

(a) Authorizes and records the issue of materials for use

(b) Records the return of unused materials.

(c) Records the shifting of materials from one store to another.

(d) A classified record of materials, issues, returns and transfers.

ANS. C

 

42. A document which is a classified record of material issues, returns and transfers.

(a) Materials Requisition Note

(b) Material Return Note

(c) Materials Transfer Note

(d) Materials issue Analysis sheet

ANS. D

 

43. This is essential to make the cost ledger `self-balancing’

(a) General Ledger Adjustment Account

(b) Stores Ledger Control Account

(c) Work-in-progress Ledger

(d) Finished Goods Control Account

AND. A

 

44. This is debited with all purchases of materials for the stores and credited with all issues of materials.

(a) General Ledger Adjustment Account

(b) Stores Ledger Control Account

(c) Work-in-progress Ledger

(d) Finished Goods Control Account

AND. B

 

45. In this, cost of materials, wages and overheads of each job undertaken is posted.

(a) General Ledger Adjustment Account

(b) Stores Ledger Control Account

(c) Work-in-progress Ledger

(d) Finished Goods Control Account

ANS. C

 

46. In non-integrated system of accounting, the emphasis is on

(a) Personal accounts

(b) Real accounts

(c ) Nominal accounts

(d) All of these

ANS. C

 

47. Cost and financial accounts are required to be reconciled under

(a) Integral system

(b) Cost control accounts system

(c) Under both (a) and (b)

(d) None of these

ANS. B

 

48. Purchases for special jobs is debited to

(a) Work-in-progress ledger control account

(b) Cost ledger control account

(c) Stores ledger control account

ANS. A

 

49. Notional costs

(a) May be included in interlocking accounts

(b) May be included in integrated accounts

(c) Cannot be included in interlooking accounts

(d) Neither (a) nor (b) or (c)

ANS. A

 

50. Contribution margin is also known as

 a)Variable cost

 b) Gross Profit

 c) Net Income

 ANS. B

 

 
If You Need Most Importance MCQ PDF ADVANCED COST ACCOUNTING Question Bank Than Pay Rs 100 Only 

Contact 8652719712 / 8779537141 



 M.Com Part 1 Other Subject MCQ 

Strategic Management

1)    https://www.surajpateleducation.com/2021/04/strategic-management-mcq-pdf.html

2)    https://www.surajpateleducation.com/2021/01/strategic-management-mcom-part-1.html

3)    https://www.surajpateleducation.com/2020/11/strategic-management-mcom-part-1-mcq-pdf.html

 

Advance Cost

1)    https://www.surajpateleducation.com/2021/03/mcom-part-1-advance-cost-accounting-mcq.html

2)    https://www.surajpateleducation.com/2020/11/advanced-cost-accounting-mcom-paer-1_28.html

3)    https://www.surajpateleducation.com/2020/11/advanced-cost-accounting-mcom-paer-1.html

 

ECONOMICS OF GLOBAL TRADE & FINANCE

1)    https://www.surajpateleducation.com/2021/01/economics-of-global-trade-finance-mcq.html

2)    https://www.surajpateleducation.com/2021/01/economics-of-global-trade-finance-mcom.html

3)    https://www.surajpateleducation.com/2020/12/economics-mcq-mcom-mumbai-university.html

4)    https://www.surajpateleducation.com/2020/12/economics-mcom-part-1-mcq-pdf.html

 

Human Resource Management

1)    https://www.surajpateleducation.com/2021/01/human-resource-management-multiple.html

2)    https://www.surajpateleducation.com/2020/11/human-resource-management-mcom-part-1_25.html

3)    https://www.surajpateleducation.com/2020/11/human-resource-management-mcom-part-1.html

 

Marketing Strategies

1)    https://www.surajpateleducation.com/2020/11/marketing-strategies-and-plans-mcom.html

2)    https://www.surajpateleducation.com/2020/11/marketing-strategies-and-plans-mcq-mcom.html

 

Advanced financial

https://www.surajpateleducation.com/2020/11/advanced-financial-accounting-mcom-part_27.html

 

Telegram Group

Post a Comment

Previous Post Next Post

Recent Post

Direct Tax