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Asked/Added Questions From NCERT:


Question 1. Asked on :10 August 2021:12:50:09 PM

  Per unit fixed overheads would ______ as the production

a) Increase, increases c) Decrease, remains constant

b) Increase, Decreases d) Decrease, decreases.

-Added by Master Purushottam Accountancy » Basics Of Cost And Cost Accounting MCQ


Question 2. Asked on :10 August 2021:12:49:46 PM

  Total fixed overheads would ________ as the production increases.

a) Decrease c) Remain fixed

b) Increase d) None of the above.

-Added by Master Purushottam Accountancy » Basics Of Cost And Cost Accounting MCQ


Question 3. Asked on :10 August 2021:12:49:31 PM

  Per unit _______ overheads remain fixed.

a) Fixed c) Selling

b) Factory d) Variable.

-Added by Master Purushottam Accountancy » Basics Of Cost And Cost Accounting MCQ


Question 4. Asked on :10 August 2021:12:49:06 PM

  Cost of fancy packing necessary to attract customers would form part of :

a) Selling overheads

b) Distribution overheads

c) Development overheads

d) Both a) and b)

-Added by Master Purushottam Accountancy » Basics Of Cost And Cost Accounting MCQ


Question 5. Asked on :10 August 2021:12:48:34 PM

  Primary packing necessary to protect a product should form part of

a) Selling overheads

b) Distribution overheads

c) Prime cost

d) None of the above.

-Added by Master Purushottam Accountancy » Basics Of Cost And Cost Accounting MCQ


Question 6. Asked on :10 August 2021:12:48:03 PM

 Inspection charges which cannot be identified with a particular product should be

treated as

a) Research and development overheads

b) Selling overheads

-Added by Master Purushottam Accountancy » Basics Of Cost And Cost Accounting MCQ


Question 7. Asked on :10 August 2021:12:47:33 PM

 Secondary packing expenses is an example of :

a) Selling overheads c) Both of the above

b) Distribution overheads d) None of the above.

-Added by Master Purushottam Accountancy » Basics Of Cost And Cost Accounting MCQ


Question 8. Asked on :10 August 2021:12:45:04 PM

  Secondary packing expenses is an example of :

a) Selling overheads c) Both of the above

b) Distribution overheads d) None of the above.

-Added by Master Purushottam Accountancy » Basics Of Cost And Cost Accounting MCQ


Question 9. Asked on :10 August 2021:12:43:29 PM

  Advertising expenses, commission to salesman, depreciation on delivery van are

examples of :

a) Selling overheads

b) Distribution overheads

c) Both of the above.

d) None of the above.

-Added by Master Purushottam Accountancy » Basics Of Cost And Cost Accounting MCQ


Question 10. Asked on :10 August 2021:12:42:59 PM

 The costing method in which fixed expenses are charged to product along with variable

expenses is known as –

a) Direct costing, c) Absorption costing

b) Marginal costing d) ABC.


-Added by Master Purushottam Accountancy » Basics Of Cost And Cost Accounting MCQ


Question 11. Asked on :10 August 2021:12:42:23 PM

  In element wise classification of overheads, which of the following is not included-

a) Factory overheads c) Material


b) Indirect labour d) Indirect expenditure.

-Added by Master Purushottam Accountancy » Basics Of Cost And Cost Accounting MCQ


Question 12. Asked on :10 August 2021:12:41:50 PM

  Fixed cost per unit increases when –

a) Production volume increases

b) Production volume decreases

c) Variable cost / unit decreases

d) Variable cost / unit increases.

-Added by Master Purushottam Accountancy » Basics Of Cost And Cost Accounting MCQ


Question 13. Asked on :10 August 2021:12:41:20 PM

  In ______ stock is valued only at cost :

a) Financial accounting

b) Cost accounting

c) Human resource accounting

d) None of these.

b) Loss Centre d) Both a) & c)

-Added by Master Purushottam Accountancy » Basics Of Cost And Cost Accounting MCQ


Question 14. Asked on :10 August 2021:12:40:53 PM

  A responsibility center in which a manager is accountable for costs only is called

___________.

a) Profit center c) Cost center

-Added by Master Purushottam Accountancy » Basics Of Cost And Cost Accounting MCQ


Question 15. Asked on :10 August 2021:12:40:35 PM

  Management accounting is an extension of :

a) Financial accounting

b) Responsibility accounting,

c) Cost accounting

d) All of the above.

-Added by Master Purushottam Accountancy » Basics Of Cost And Cost Accounting MCQ


Question 16. Asked on :10 August 2021:12:39:59 PM

  All costs are _______ in long run,

a) Variable c) Fixed

b) Controllable d) Both a) & b)


-Added by Master Purushottam Accountancy » Basics Of Cost And Cost Accounting MCQ


Question 17. Asked on :10 August 2021:12:39:41 PM

  Per unit ______ costs remains same.

a) Fixed c) Both a) and b)

b) Variable d) None of these.

-Added by Master Purushottam Accountancy » Basics Of Cost And Cost Accounting MCQ


Question 18. Asked on :10 August 2021:12:39:20 PM

  Out of pocket costs have no relevance in decision making :

a) True b) False.

-Added by Master Purushottam Accountancy » Basics Of Cost And Cost Accounting MCQ


Question 19. Asked on :10 August 2021:12:38:34 PM

  _____ costs are non-inventorable costs, as they are not included in the value of finished

stock.

a) Semi fixed costs c) Shut down costs

b) Variable costs d) Period costs.

-Added by Master Purushottam Accountancy » Basics Of Cost And Cost Accounting MCQ


Question 20. Asked on :10 August 2021:12:38:11 PM

  Haulage is an item of _____ overheads.

a) Research & Development

b) Selling & distribution

c) Works

d) Office.

-Added by Master Purushottam Accountancy » Basics Of Cost And Cost Accounting MCQ




Question 23. Asked on :10 August 2021:12:36:28 PM

 Abnormal costs are ultimately charged to __________

a) P & L A/c c) Note recorded at all

b) Costing P & L d) Suspense A/c.

-Added by Master Purushottam Accountancy » Basics Of Cost And Cost Accounting MCQ


Question 24. Asked on :10 August 2021:12:35:36 PM

 28. Which of the following is not an example of shut down cost ?

a) Factory rent c) Direct material

b) Insurance d) Property tax.

-Added by Master Purushottam Accountancy » Basics Of Cost And Cost Accounting MCQ


Question 25. Asked on :10 August 2021:12:34:54 PM

 A cost which does not involve any cash flow is known as :

a) Notional cost c) Implicit cost

b) Imputed cost d) All of the above.

-Added by Master Purushottam Accountancy » Basics Of Cost And Cost Accounting MCQ


Question 26. Asked on :10 August 2021:12:34:21 PM

  __________ costs are the costs incurred upto the point of separation.

a) Joint costs c) Decremental costs

b) Shut down costs d) Disjoint costs.

-Added by Master Purushottam Accountancy » Basics Of Cost And Cost Accounting MCQ






Question 31. Asked on :10 August 2021:12:31:30 PM

  All indirect costs are controllable but, direct costs are not controllable.

a) True b) False

-Added by Master Purushottam Accountancy » Basics Of Cost And Cost Accounting MCQ


Question 32. Asked on :10 August 2021:12:30:11 PM

  Costs which can be influenced by its budget holder are known as :

a) Fixed costs c) Uncontrollable costs

b) Step costs d) Controllable costs

-Added by Master Purushottam Accountancy » Basics Of Cost And Cost Accounting MCQ


Question 33. Asked on :10 August 2021:12:29:45 PM

  ________ costs are constant at a given level of output & then increase by a fixed amount

at higher level of production.

a) Discretionary cost c) Committed cost

b) Step cost d) Sunk Cost

-Added by Master Purushottam Accountancy » Basics Of Cost And Cost Accounting MCQ


Question 34. Asked on :10 August 2021:12:29:23 PM

  ___________ costs result from special policy decision, new research & are not related to

operations.

a) Discretionary cost c) Committed cost

b) Step cost d) Sunk cost.

-Added by Master Purushottam Accountancy » Basics Of Cost And Cost Accounting MCQ


Question 35. Asked on :10 August 2021:12:29:03 PM

  Direct material include all of the following except :

a) Primary packing, c) Royalty

b) Secondary packing d) Cost of layout.

-Added by Master Purushottam Accountancy » Basics Of Cost And Cost Accounting MCQ




Question 38. Asked on :10 August 2021:12:26:10 PM

  Expenditure can be classified as capital or revenue in relation to its :

a) Function c) Accounting period

b) Changes in activity d) Both b) & c)

-Added by Master Purushottam Accountancy » Basics Of Cost And Cost Accounting MCQ


Question 39. Asked on :10 August 2021:12:25:50 PM

  Costing acts as an aid to

a) Creditors c) National economy

b) Employees d) All of the above.

-Added by Master Purushottam Accountancy » Basics Of Cost And Cost Accounting MCQ


Question 40. Asked on :10 August 2021:12:25:28 PM

 14. Cost accounting does not help in making estimates :

a) True b) False.

-Added by Master Purushottam Accountancy » Basics Of Cost And Cost Accounting MCQ


Question 41. Asked on :10 August 2021:12:25:03 PM

  _______ is specialized branch of accounting which involves classification, accumulation,

assignment & control of costs :

a) Financial accounting c) Costing

b) Cost accounting d) Cost accountancy.

-Added by Master Purushottam Accountancy » Basics Of Cost And Cost Accounting MCQ


Question 42. Asked on :10 August 2021:12:24:27 PM

 11. Which of the following are cost as per activity

a) Material, Labour, expense

b) Fined, Variable & Semi-variable

c) Production cost, Office cost

d) All of these.

-Added by Master Purushottam Accountancy » Basics Of Cost And Cost Accounting MCQ


Question 43. Asked on :10 August 2021:12:23:58 PM

  Which of the following are cost as per activity

a) Material, Labour, expense

b) Fined, Variable & Semi-variable

c) Production cost, Office cost

d) All of these.

-Added by Master Purushottam Accountancy » Basics Of Cost And Cost Accounting MCQ



Question 45. Asked on :10 August 2021:12:21:56 PM

 Match the pairs

a) Direct Material (p) Salary of Supervisor

b) Indirect Material (q) Material passing from one process to other

c) Direct Labour (r) wages to worker

d) Indirect expense (s) Grease

-Added by Master Purushottam Accountancy » Basics Of Cost And Cost Accounting MCQ


Question 46. Asked on :10 August 2021:12:21:15 PM

 Which of the following cost are pre-determined cost

a) Standard cost

b) Estimated cost

c) Historical cost

d) a & b

-Added by Master Purushottam Accountancy » Basics Of Cost And Cost Accounting MCQ



Question 48. Asked on :10 August 2021:12:20:03 PM

 Which of the following are objectives of cost Accounting

a) Classification of expenses to all product

b) To indicate inefficiency of management

c) To provide data for decision making

d) All of these

-Added by Master Purushottam Accountancy » Basics Of Cost And Cost Accounting MCQ


Question 49. Asked on :10 August 2021:12:18:45 PM

  ________is specialized branch of accounting which involves classification, Accumulation

assignment & Control of Cost

a) Costing

b) Cost Accounting

c) Management Accounting

d) Financial Accounting

-Added by Master Purushottam Accountancy » Basics Of Cost And Cost Accounting MCQ


Question 50. Asked on :10 August 2021:12:12:48 PM

 . ___________ is technique of ascertaining cost a) Costing b) Cost Accounting c) Financial Accounting d) None

-Added by Master Purushottam Accountancy » Basics Of Cost And Cost Accounting MCQ


Question 51. Asked on :10 August 2021:12:12:31 PM

 Which of the following is technique of costing a) Standard Costing b) Uniform Costing c) Absorption Costing d) Process Costing

-Added by Master Purushottam Accountancy » Basics Of Cost And Cost Accounting MCQ


Question 52. Asked on :10 August 2021:12:12:19 PM

 Which of the following is not method of costing? a) Operating costing b) Unit Costing c) Composite Costing d) Marginal Costing

-Added by Master Purushottam Accountancy » Basics Of Cost And Cost Accounting MCQ


Question 53. Asked on :10 August 2021:12:11:33 PM

 Which of the following is method of costing

-Added by Master Purushottam Accountancy » Basics Of Cost And Cost Accounting MCQ


Question 54. Asked on :08 August 2021:09:37:23 PM

Indirect costs are also known as _________.

a) Common Costs 

b) Traceable Costs 

c) Implicit Costs

d) Sunk Costs.

-Added by Master Purushottam Accountancy » Basics Of Cost And Cost Accounting MCQ


Question 55. Asked on :08 August 2021:09:36:44 PM

Describe the cost unit applicable to the Bicycle industry _______.

a) Per part of bicycle 

b) Per bicycle 

c) Per tone

d) Per day.

-Added by Master Purushottam Accountancy » Basics Of Cost And Cost Accounting MCQ


Question 56. Asked on :08 August 2021:09:35:58 PM

Warehouse expenses is an example of:

a) Selling overheads

b) Admin overheads

c) Distribution overheads

d) Selling and distribution overheads

-Added by Master Purushottam Accountancy » Basics Of Cost And Cost Accounting MCQ


Question 57. Asked on :08 August 2021:09:35:13 PM

Factory overheads are also known as : 

a) Works overheads 

b) Manufacturing overheads

c) Production overheads

d) All of the above.

-Added by Master Purushottam Accountancy » Basics Of Cost And Cost Accounting MCQ


Question 58. Asked on :08 August 2021:09:33:28 PM

Research and Development overheads is an example of classification based on:

a) Function 

b) Element 

c) Behaviour

d) Control

-Added by Master Purushottam Accountancy » Basics Of Cost And Cost Accounting MCQ


Question 59. Asked on :08 August 2021:09:32:57 PM

Per unit fixed overheads would ______ as the production

a) Increase, increases 

b) Increase, Decreases 

c) Decrease, remains constant

d) Decrease, decreases.

-Added by Master Purushottam Accountancy » Basics Of Cost And Cost Accounting MCQ


Question 60. Asked on :08 August 2021:09:32:00 PM

Total fixed overheads would ________ as the production increases.

a) Decrease 

b) Increase 

c) Remain fixed

d) None of the above.

-Added by Master Purushottam Accountancy » Basics Of Cost And Cost Accounting MCQ


Question 61. Asked on :08 August 2021:09:31:31 PM

Per unit _______ overheads remain fixed.

a) Fixed 

b) Factory 

c) Selling

d) Variable.

-Added by Master Purushottam Accountancy » Basics Of Cost And Cost Accounting MCQ


Question 62. Asked on :08 August 2021:09:30:55 PM

Cost of fancy packing necessary to attract customers would form part of :

a) Selling overheads

b) Distribution overheads

c) Development overheads

d) Both a) and b)

-Added by Master Purushottam Accountancy » Basics Of Cost And Cost Accounting MCQ


Question 63. Asked on :08 August 2021:09:30:34 PM

Primary packing necessary to protect a product should form part of

a) Selling overheads

b) Distribution overheads

c) Prime cost

d) None of the above.

-Added by Master Purushottam Accountancy » Basics Of Cost And Cost Accounting MCQ



Question 65. Asked on :08 August 2021:09:29:21 PM

Secondary packing expenses is an example of :

a) Selling overheads 

b) Distribution overheads 

c) Both of the above

d) None of the above.

-Added by Master Purushottam Accountancy » Basics Of Cost And Cost Accounting MCQ


Question 66. Asked on :08 August 2021:09:29:00 PM

Advertising expenses, commission to salesman, depreciation on delivery van are examples of :

a) Selling overheads

b) Distribution overheads

c) Both of the above.

d) None of the above.

-Added by Master Purushottam Accountancy » Basics Of Cost And Cost Accounting MCQ


Question 67. Asked on :08 August 2021:09:28:25 PM

The costing method in which fixed expenses are charged to product along with variable expenses is known as –

a) Direct costing 

b) Marginal costing 

c) Absorption costing

d) ABC.

-Added by Master Purushottam Accountancy » Basics Of Cost And Cost Accounting MCQ


Question 68. Asked on :08 August 2021:09:27:34 PM

In element wise classification of overheads, which of the following is not included-

a) Factory overheads 

b) Indirect labour 

c) Material

d) Indirect expenditure.

-Added by Master Purushottam Accountancy » Basics Of Cost And Cost Accounting MCQ


Question 69. Asked on :08 August 2021:09:27:14 PM

Fixed cost per unit increases when –

a) Production volume increases

b) Production volume decreases

c) Variable cost / unit decreases

d) Variable cost / unit increases.

-Added by Master Purushottam Accountancy » Basics Of Cost And Cost Accounting MCQ


Question 70. Asked on :08 August 2021:09:26:28 PM

In ______ stock is valued only at cost.

a) Financial accounting

b) Cost accounting

c) Human resource accounting

d) None of these

-Added by Master Purushottam Accountancy » Basics Of Cost And Cost Accounting MCQ


Question 71. Asked on :08 August 2021:09:26:05 PM

Management accounting is an extension of :

a) Financial accounting

b) Responsibility accounting,

c) Cost accounting

d) All of the above.

-Added by Master Purushottam Accountancy » Basics Of Cost And Cost Accounting MCQ


Question 72. Asked on :08 August 2021:09:25:11 PM

All costs are _______ in long run.

a) Variable 

b) Controllable 

c) Fixed

d) Both (a) & (b)

-Added by Master Purushottam Accountancy » Basics Of Cost And Cost Accounting MCQ


Question 73. Asked on :08 August 2021:09:24:32 PM

Per unit ______ costs remains same.

a) Fixed 

b) Variable 

c) Both (a) and (b)

d) None of these.

-Added by Master Purushottam Accountancy » Basics Of Cost And Cost Accounting MCQ


Question 74. Asked on :08 August 2021:09:23:27 PM

 _____ costs are non-inventorable costs, as they are not included in the value of finished stock.

a) Semi fixed costs 

b) Variable costs 

c) Shut down costs

d) Period costs.

-Added by Master Purushottam Accountancy » Basics Of Cost And Cost Accounting MCQ


Question 75. Asked on :08 August 2021:09:23:02 PM

Haulage is an item of _____ overheads.

a) Research & Development

b) Selling & distribution

c) Works

d) Office.

-Added by Master Purushottam Accountancy » Basics Of Cost And Cost Accounting MCQ


Question 76. Asked on :08 August 2021:09:22:08 PM

Abnormal costs are ultimately charged to __________

a) P & L A/c 

b) Costing P & L 

c) Note recorded at all

d) Suspense A/c.

-Added by Master Purushottam Accountancy » Basics Of Cost And Cost Accounting MCQ


Question 77. Asked on :08 August 2021:09:21:21 PM

Which of the following is not an example of shut down cost ?

a) Factory rent 

b) Insurance 

c) Direct material

d) Property tax.

-Added by Master Purushottam Accountancy » Basics Of Cost And Cost Accounting MCQ


Question 78. Asked on :08 August 2021:09:20:48 PM

A cost which does not involve any cash flow is known as :

a) Notional cost 

b) Imputed cost 

c) Implicit cost

d) All of the above.

-Added by Master Purushottam Accountancy » Basics Of Cost And Cost Accounting MCQ


Question 79. Asked on :08 August 2021:09:20:20 PM

 __________ costs are the costs incurred upto the point of separation.

a) Joint costs 

b) Shut down costs 

c) Decremental costs

d) Disjoint costs.

-Added by Master Purushottam Accountancy » Basics Of Cost And Cost Accounting MCQ





Question 83. Asked on :08 August 2021:09:17:42 PM

Costs which can be influenced by its budget holder are known as :

a) Fixed costs 

b) Step costs 

c) Uncontrollable costs

d) Controllable costs

-Added by Master Purushottam Accountancy » Basics Of Cost And Cost Accounting MCQ


Question 84. Asked on :08 August 2021:09:16:54 PM

________ costs are constant at a given level of output & then increase by a fixed amount at higher level of production.

a) Discretionary cost 

b) Step cost

c) Committed cost 

d) Sunk Cost

-Added by Master Purushottam Accountancy » Basics Of Cost And Cost Accounting MCQ


Question 85. Asked on :08 August 2021:09:16:07 PM

___________ costs result from special policy decision, new research & are not related to operations.

a) Discretionary cost 

b) Step cost 

c) Committed cost

d) Sunk cost

-Added by Master Purushottam Accountancy » Basics Of Cost And Cost Accounting MCQ


Question 86. Asked on :08 August 2021:09:15:10 PM

Direct material include all of the following except :

a) Primary packing, 

b) Secondary packing

c) Royalty 

d) Cost of layout

-Added by Master Purushottam Accountancy » Basics Of Cost And Cost Accounting MCQ


Question 87. Asked on :08 August 2021:09:14:21 PM

Expenditure can be classified as capital or revenue in relation to its :

a) Function 

b) Changes in activity 

c) Accounting period

d) Both b) & c)

-Added by Master Purushottam Accountancy » Basics Of Cost And Cost Accounting MCQ


Question 88. Asked on :08 August 2021:09:13:40 PM

Costing acts as an aid to:

a) Creditors 

b) Employees 

c) National economy

d) All of the above.

-Added by Master Purushottam Accountancy » Basics Of Cost And Cost Accounting MCQ


Question 89. Asked on :08 August 2021:09:13:03 PM

_______ is specialized branch of accounting which involves classification, accumulation, assignment & control of costs :

a) Financial accounting 

b) Cost accounting

c) Costing 

d) Cost accountancy

-Added by Master Purushottam Accountancy » Basics Of Cost And Cost Accounting MCQ


Question 90. Asked on :08 August 2021:09:12:07 PM

Where _________ product/s is/are produced, ascertaining the cost/unit becomes complicated.

a) Single 

b) Multiple

c) Both (a) and (b)

 d) None of these

-Added by Master Purushottam Accountancy » Basics Of Cost And Cost Accounting MCQ


Question 91. Asked on :08 August 2021:09:11:22 PM

Which of the following are cost as per activity

a) Material, Labour, expense

b) Fined, Variable & Semi-variable

c) Production cost, Office cost

d) All of these.

-Added by Master Purushottam Accountancy » Basics Of Cost And Cost Accounting MCQ



Question 93. Asked on :08 August 2021:08:52:48 PM

Which of the following cost are pre-determined cost:

a) Standard cost

b) Estimated cost

c) Historical cost

d) a & b


-Added by Master Purushottam Accountancy » Basics Of Cost And Cost Accounting MCQ



Question 95. Asked on :08 August 2021:08:52:02 PM

Which of the following are objectives of cost Accounting

a) Classification of expenses to all product

b) To indicate inefficiency of management

c) To provide data for decision making

d) All of these

-Added by Master Purushottam Accountancy » Basics Of Cost And Cost Accounting MCQ


Question 96. Asked on :08 August 2021:08:51:16 PM

________is specialized branch of accounting which involves classification, Accumulation assignment & Control of Cost

a) Costing

b) Cost Accounting

c) Management Accounting

d) Financial Accounting

-Added by Master Purushottam Accountancy » Basics Of Cost And Cost Accounting MCQ


Question 97. Asked on :08 August 2021:08:50:53 PM

___________ is technique of ascertaining cost

a) Costing

b) Cost Accounting

c) Financial Accounting

d) None

-Added by Master Purushottam Accountancy » Basics Of Cost And Cost Accounting MCQ


Question 98. Asked on :08 August 2021:08:50:27 PM

Which of the following is technique of costing

a) Standard Costing

b) Uniform Costing

c) Absorption Costing

d) Process Costing

-Added by Master Purushottam Accountancy » Basics Of Cost And Cost Accounting MCQ


Question 99. Asked on :08 August 2021:08:50:03 PM

Which of the following is not method of costing?

a) Operating costing

b) Unit Costing

c) Composite Costing

d) Marginal Costing

-Added by Master Purushottam Accountancy » Basics Of Cost And Cost Accounting MCQ


Question 100. Asked on :08 August 2021:08:47:05 PM

Which of the following is method of costing:

a) Job Costing

b) Terminal Costing

c) Operation Costing

d) All of these

-Added by Master Purushottam Accountancy » Basics Of Cost And Cost Accounting MCQ


 

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