Top 150+ Solved Cost and Works Accounting 2 MCQ Questions Answer
Q. By products are outputs from a joint process that are relatively minor in quantityand/or value.
a. False
b. True
c. none
d. none
Q. Which of the following statement is correct?
a. A joint product is regarded as an important sale-able item, and so it should be separately costed. The profitability of each joint product should be assessed in the cost accounts.
b. A by-product is not important as a sale-able item, and whatever revenue it earns is a ‘bonus’ for the organisation. Because of their relative insignificance, by-products are not separately costed.
c. Both A&B are correct
d. None
Q. The point at which joint products and by-products become separately identifiable isknown as:
a. The split off point
b. Separation point
c. Either A or B
d. None
Q. Service costing is also called as:
a. Operating Costing
b. Non-Operating Costing
c. Overhead Costing
d. Product Costing
Q. In service cost sheet costs are classified into :
a. Indirect charges.
b. Overheads.
c. Standing charges.
d. Fixed expenses.
Q. In transport service, cost sheet depreciation cost are grouped under:
a. Fixed Cost.
b. Stand by cost.
c. Semi-variable cost.
d. Variable cost.
Q. An example of composite unit in transport costing is:
a. Per passenger per km
b. Per passenger per seat
c. Per km per seat
d. Per passenger per travel
Q. Number of passenger kilometer= Number of passengers X………………
a. Number of kms.
b. Number of seats.
c. Number of buses.
d. Number of distances.
Q. IF the profit are 50% of operating cost, it is ……………. of invoice price.
a. 20%
b. 25%
c. 16.66667%
d. 33.33334%
Q. Operating costing system is more suitable to :
a. Product industries.
b. Contraction industries.
c. Service industries.
d. Manufacturing industries.
Q. Per kilometer is an example of……………..cost unit used in transport undertakings.
a. Simple
b. Composite
c. Dual
d. Joint