Quiznetik

Cost and Works Accounting 1 | Set 1

1. …………………..does not deal with the accumulation, classification, analysis, allocation, summarization, interpretation, reporting and control of current and perspective costs.

Correct : B. Financial Accounting

2. The amount of expenditure incurred on, or attributable to, a specified thing or an activity or cost unit is known as

Correct : B. Cost

3. The aggregate amount of all the items of expenses paid or payable for the particular product or service is called as

Correct : C. Total Cost

4. …………..cost represents the increase or decrease in total cost which occurs with change in output.

Correct : B. Marginal cost

5. The expenses which can be directly charged to jobs, products, processes, cost centers or cost units is termed as

Correct : A. Direct Cost

6. The Technique and ………….of ascertaining the cost is known as Costing.

Correct : C. Process

7. ………….is applied where production is carried out as per specific order and customer specifications.

Correct : B. Job costing

8. Marginal costing is also known as ………………….. costing

Correct : A. Variable

9. …………..is the system of costing under which costs are determined after they have been incurred.

Correct : B. Historical costing

10. The branch of accounting dealing with the classification, recording, allocation, summarization and reporting of current and prospective costs is known as

Correct : C. Cost Accounting

11. The term…………………. is comprehensively used to include various aspects such as costing, cost accounting, cost control, cost audit and budgetary control.

Correct : A. Cost Accountancy

12. ……………….is concerned with ascertainment of cost.

Correct : B. Costing

13. ……………… is concerned with accounting and recording of costs.

Correct : C. Cost Accounting

14. ………………………..is concerned with formulation and / or application of principles, methods and techniques of costing.

Correct : A. Cost Accountancy

15. The evolution of cost accounting took place because of…………………….of financial accounting.

Correct : B. Limitations

16. …………………helps the management to eliminate inefficiencies caused by material wastage, use of obsolete machinery, improper planning etc.

Correct : B. Cost Accounting

17. ……………….covers accounts of whole business relating to all commercial transactions.

Correct : B. Financial Accounting

18. A unit of quantity of product, service or time, in relation to which cost may be ascertained or expressed is known as .

Correct : C. Cost Unit

19. A location, person or item of equipment for which costs may be ascertained and used for the purposes of cost control is known as .

Correct : A. Cost Centre

20. The cost unit for the Gas Industry is…………….

Correct : C. Cubic Meter

21. Costing is a technique of……….

Correct : A. Inventory control

22. Cost accounting has been developed because of………………financial accounting.

Correct : B. Expenditure

23. Cost accountancy is the science, art and of cost accountant.

Correct : D. Practice

24. In automobile industry cost unit is…………

Correct : B. Automobile quality

25. Cost unit in a college may be…………

Correct : C. Student

26. costing is suitable for mines, quarries, cement works etc.

Correct : D. Operation

27. …………is an extension of job costing.

Correct : B. Batch costing

28. When job is very big and spread over long periods of time the method of costing adopted is……

Correct : C. Contract

29. Continuous costing is also called

Correct : B. Process costing

30. The methods of job evaluation include:

Correct : D. All of the above

31. Cost accounting is based on……………..figures.

Correct : B. Estimated

32. costing is used in transport undertaking.

Correct : D. Service

33. In………………costing the cost of a group of products is ascertained.

Correct : C. Batch

34. The total of all direct expenses is known as ………

Correct : C. Prime cost

35. An opportunity cost is a………..

Correct : A. Direct expense

36. The term………… is the one which is identifiable as belonging exclusively to a particular process, product, and unit.

Correct : A. Direct Cost

37. Every……………of cost is divided into direct cost and indirect cost.

Correct : B. Element

38. Direct …………….are those which can be identified in the product and can be measured.

Correct : C. Material

39. The cost of direct material is termed as…………..

Correct : B. Direct material cost

40. All workers who are directly engaged in manufacturing activity are known as ……………labour.

Correct : A. Direct

41. Wages paid to direct workers are known as ………….

Correct : A. Direct labour cost

42. Wages paid to direct labour are also known as………………wages.

Correct : A. Productive

43. Wages paid to carpenter is the example of direct…………...

Correct : C. Labour

44. Cost of leather used in shoe making is the example of direct………….

Correct : C. Material

45. The ………………include all types of expenses other than direct materials and direct labour which are incurred for a particular product or job.

Correct : B. Direct expenses

46. Direct expenses are also known as ……………..expenses.

Correct : C. Chargeable

47. The expenses which can be identified with and allocated to cost centers and cost units are termed as……………..

Correct : C. Direct expenses

48. Fees paid to Architect is the example of…………...

Correct : B. Direct expenses

49. The total of direct material, direct labour and direct expenses is known as………..

Correct : B. Prime Cost

50. Direct…………..enter the product and form a part of finished product.

Correct : C. Materials

51. Material, Labour and Expenses are the three important…………. of cost.

Correct : B. Elements

52. ……………..cost is the cost of commodities supplied to an undertaking.

Correct : B. Labour

53. Direct Labour Cost is also known as…………

Correct : C. Direct Wages

54. The expenses which cannot be directly identified with a particular unit or cost centre is known as …………………...

Correct : C. Indirect expenses

55. ……………………..expenses are also called as chargeable expenses.

Correct : C. Direct

56. The aggregate of indirect material, indirect labour and indirect expenses in termed as…………….

Correct : B. Overheads

57. The overhead cost incurred from the stage of procurement of raw material till the stage of production of finished goods is known as…… .

Correct : B. Factory overheads

58. Office overheads are also known as …………….overheads.

Correct : C. Administrative

59. The cost of activities relating to create and stimulate demand for company’s products and to secure orders is known as……….overheads.

Correct : C. Selling and Distribution

60. Non-cost items are those which are …………….. from the cost.

Correct : A. Excluded

61. Classification of cost into factory cost, administrative cost, selling & distribution cost and research and development cost is done on the basis of…………...

Correct : B. Functions

62. The cost that remains unchanged in spite of change in volume of production is known as………….

Correct : A. Fixed cost

63. ……………….cost is partly variable and partly fixed.

Correct : B. Semi-variable cost

64. ………………is a statement showing cost of production of a particular product.

Correct : C. Cost sheet

65. The total of works cost and administrative overheads is known as …

Correct : B. Cost of Production

66. …………………is the total of prime cost and factory overheads.

Correct : B. Works cost

67. Consumables are treated as……………overheads in cost sheet.

Correct : A. Factory

68. 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/-.

Correct : B. Profit

69. In cost sheet the expenses on discount allowed are considered under………………overheads.

Correct : C. Selling and Distribution

70. ………………cost is predetermined cost for each element of cost.

Correct : C. Standard

71. Which of the following is not used as a base for apportionment of administration overheads?

Correct : A. Direct wages

72. In account ting for labour cost:

Correct : C. Direct labour cost is charged to prime cost and indirect labour cost is charged to overheads

73. Depreciation is a ………….. Expense

Correct : A. Fixed

74. ………………….. Cost per unit does not change with change in activity level

Correct : B. Variable

75. Telephone expense is a …………………. Expense

Correct : C. Semi – variable

76. Cost accounting is the art, science and …………… cost of accountant

Correct : A. Profession

77. ………………. May be a location, a person, or an item of equipment or group of there

Correct : B. Cost unit

78. …………………. Is defined on the guidance and regulation by executive action of cost operating and under taking

Correct : A. Cost reduction

79. ………. is the cost incurred in the part has no effect on future decision making

Correct : A. Sunk cost

80. Machine hour rate in the cost of running a machine

Correct : B. Per day

81. Direct expense are also called ……………………. Expenses.

Correct : B. Chargeable

82. Cost of production is also called ………………..if there is no selling and distribution expense

Correct : B. Office cost

83. If cost of sales exceeds sales it will be

Correct : B. Loss

84. Statement prepared to show the different elements of cost

Correct : B. Cost sheet

85. Variable cost increases

Correct : B. As the production goes up

86. On the basis of ……………… cost can be classified into fixed and variable.

Correct : A. Behavior

87. Direct expense are also called ……………… expenses

Correct : B. Chargeable

88. Operating costing is applicable to

Correct : A. Transport

89. Rent on own building is a ………………..

Correct : B. Imputed cost

90. When material prices fluctuate widely the method of pricing that gives a best result in

Correct : B. Weighted average

91. ……….. is the first and most important element of cost.

Correct : C. Material

92. The term………..refers to all commodities that are consumed in the process of production, assembly and fabricated parts

Correct : B. Material

93. 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.

Correct : A. Material Control

94. ………………..purchase procedure should be installed to ensure that the purchases are made at favourable prices.

Correct : B. Standard

95. The term …………….may be defined as the systematic control over the procurement of materials.

Correct : B. Purchase control

96. The organisation of the purchase department depends on the…………..of the organisation and its likely quantum of purchase.

Correct : A. Size

97. ……………………is the head of the purchase department.

Correct : B. Purchase Manager

98. Purchase…………..is to be prepared to know what to buy, what should be the quantity, quality and price.

Correct : C. budget

99. One of the objective of …………….is to avoid under and overstocking of material.

Correct : A. Scientific Purchasing

100. The…………….must maintain a proper classified record of all purchases, uses and stock of materials.

Correct : B. Purchase manager