Inter PN-8 Cost Accounting Quiz 3

1.                 is a scientific and accurate method of factory overhead absorption.

2. When the amount of overhead absorbed is less than the amount of overhead incurred, it is called:

3. Normal capacity of a plant refers to the difference between:

4. Primary packing cost is a part of:

5. Selling and distribution overheads are absorbed on the basis of:

6. When the amount of under or over absorption is significant, it should be disposed of by:

7. Absorption means:

8. Charging to a cost center those overheads that result solely for the existence of that cost Center is known as

9. Directors remuneration and expenses form a part of:

10. The allotment of whole items of cost centres or cost unit is called :

11. Example of Direct Expenses.

12. Direct Expenses that does not meet the test of materiality can be ———— part of overhead.

13. Direct Expenses       includes imputed cost.

14. Under Taylor’s differential piece rate scheme, if a worker fails to complete the task within the standard time, then he is paid

15. If the time saved is less than 50% of the standard time, then the wages under Rowan and Halsey premium plan on comparison gives:

16. Labour productivity is measured by comparing

17. Over time is :

18. Idle time is

19. Labour turnover is measured by

20. When overtime is required for meeting urgent orders, overtime premium should be

21. Cost of idle time arising due to non-availability of raw material is :

22. In which of the following incentive plan of payment, wages on time basis are not Guaranteed?

23. Which of the following methods smoothes out the effect of fluctuations when material prices fluctuate widely?

24. In which of the following methods, issues of materials are priced at pre-determined rate?

25. In which of the following methods of pricing, costs lag behind the current economic values?