Capacity Analysis And Inventory Costing(Cost Accounting ) Questions and Answers
Question 1. The fixed direct manufacturing cost is calculated, by multiplying standard prices for standard quantity of allowed input for actual output in
input costing
output costing
standard costing
achieved costing
Explanation:-
Answer: Option C. -> standard costing Answer: (c).standard costing
Question 2. The fixed manufacturing cost under absorption costing is
high dividend
low dividend
inventoriable
non-inventoriable
Explanation:-
Answer: Option D. -> non-inventoriable Answer: (d).non-inventoriable
Question 3. The number of units, must be sold to earn targeted operating income are calculated by dividing the total fixed cost operating income and
marginal cost per unit
variable cost per unit
fixed cost per unit
contribution margin per unit
Explanation:-
Answer: Option D. -> contribution margin per unit Answer: (d).contribution margin per unit
Question 4. The fixed budgeted manufacturing cost is $45000 and the budgeted production units are 900, then budgeted fixed manufacturing cost per unit will be
$200
$150
$50
$100
Explanation:-
Answer: Option C. -> $50 Answer: (c).$50
Question 5. In throughput costing, the variable manufacturing overhead and direct manufacturing labor cost must be treated as
accrual cost
incurred cost
period costs
setup costs
Explanation:-
Answer: Option C. -> period costs Answer: (c).period costs
Question 6. If the budgeted fixed cost is $55000 and budgeted fixed cost is $55 per unit, then budgeted denominator level is
2500 units
2000 units
1000 units
1500 units
Explanation:-
Answer: Option C. -> 1000 units Answer: (c).1000 units
Question 7. The costing method, in which the direct material cost is included in inventoriable cost is called
manufacturing cost
super variable costing
throughput costing
both b and c
Explanation:-
Answer: Option D. -> both b and c Answer: (d).both b and c
Question 8. In an actual quantity of cost allocation used, base is multiplied to an actual fixed overhead rates, to calculate
