Top 150+ Solved Cost and Works Accounting 1 MCQ Questions Answer
Q. Under the…………. method of pricing issues, stock is valued at historical price.
a. FIFO
b. LIFO
c. Simple Average
d. none
Q. Simple average method is based on the principle that materials issues should be valued at………… average price.
a. Weighted
b. Simple
c. Periodic
d. none
Q. Under……………… method of pricing issues, issues are valued at a price calculated by dividingthe total cost of material in the stock by the total quantity of material in stock.
a. Simple average
b. Weighted average
c. Last in First out
d. none
Q. …………………stores organization is adopted to store all the goods at centrally located at onplace.
a. Centralized
b. Central stores with sub-stores.
c. Independent
d. none
Q. Under…………… method of pricing material issue the value of closing stock represents thecurrent market price.
a. Weighted Average
b. LIFO
c. FIFO
d. none
Q. The unused materials are returned to stores with a material …………..note.
a. Acceptance
b. Transfer
c. Return
d. none
Q. ……………………method of pricing material issues provides a better matching of current costswith current revenues.
a. FIFO
b. LIFO
c. Simple Average
d. none
Q. ……………….is a master requisition which lists all the materials required for the completion ofa job.
a. Bill of Material
b. Purchase Requisition
c. Material Requisition
d. none
Q. Advantage of both centralized buying and storage of having stock conveniently available atseveral issuing points are possible in……………. system of stores organization.
a. Independent stores
b. Central stores with Sub-stores
c. Centralised Stores
d. none
Q. The weighted average method divides the cost of goods available for sale by the number of units:
a. Available for sale
b. Sold
c. Purchased during the period
d. none
Q. Cost of goods available for sale can be calculated by:
a. Opening stock + purchases
b. Closing stock + purchases
c. Opening stock + purchases – closing stock
d. none
Q. In a perpetual inventory system, the weighted average cost method is called:
a. Moving average cost method
b. Residual method
c. Arithmetic cost method
d. none
Q. The weighted average method is most commonly employed when inventory items are:
a. Different from each other
b. Connected closely with each other
c. Cost Accountancy
d. Practice