Cost and Managerial Accounting

271. Market price method is considered to be the best method when ______________

1. Quotations have to be sent
2. prices fluctuate
3. materials are subject to natural wastage
4. none of these

View answer

272. ______________ represents that quantity of material which is normally ordered when a particular material reaches reordering level.

1. maximum level
2. re-order level
3. minimum level
4. Re-order quantity

View answer

273. ______________ is a technique of material cost control which leads to low carrying cost as a result of low investment in inventory

1. ABC Analysis
2. JIT Inventory System
3. VED Analysis
4. Perpetual Inventory System

View answer

274. ______________ does not form part of production.

1. Abnormal waste
2. normal waste
3. both a & b
4. none of these

View answer

275. For conducting ______________ workers are studied at their jobs and all their movements and motions are noted.

1. Time study
2. Motion study
3. Merit rating
4. none of these

View answer

276. ______________. is most suitable when quality of work is of prime importance.

1. Piece rate system
2. time wage system
3. both a & b
4. none of these

View answer

277. Basis of apportionment of welfare department expenses is ______________

1. Wages of each department
2. Number of employees
3. materials consumed
4. number of machineries

View answer

278. ______________ is the excess of overheads absorbed over the actual amount of overheads incurred.

1. Over absorption of overheads
2. under absorption of overheads
3. overheads absorption
4. none of these.

View answer

279. Telephone expense is ______________ expense.

1. Variable
2. semi-variable
3. fixed
4. none of these

View answer

280. Under applied or over applied factory overhead should be

1. Carried forward to next year
2. shown as an extraordinary item
3. apportioned among cost of goods sold and applicable to inventory
4. written off

View answer