Costing – Set 2 January 30, 2025 by aasi 0% Report a question What’s wrong with this question? You cannot submit an empty report. Please add some details. 1234567891011121314151617181920212223242526272829303132333435363738394041424344454647484950 Costing – Set 2 Dear ! This is Costing – Set 2 Quiz and it contains 50 questions. Keep Learning! 1 / 50 1) Third step in process costing system is to summarize total costs compute cost for each equivalent unit summarize flow of output compute output in units 2 / 50 2) Forth step in process costing system is to summarize total costs v compute cost for each equivalent unit summarize flow of output 3 / 50 3) A unit cost calculated in costing system, by assigning total costs incurred to many similar units is categorized as process costing system accounting period costing system job costing system none of these 4 / 50 4) Situation in which cost object has any job, customer or product is known as cost application base direct application base sale application base price application base 5 / 50 5) Total costs incur in a production process, is divided by total number of output units to calculate the cost of direct material cost of direct labour cost of indirect labour unit costs 6 / 50 6) Costing method, which calculates per equivalent unit cost of all production related work done till calculate date is termed as net present value method Gross production method net present value method weighted average method 7 / 50 7) Total cost of producing similar products divided by number of units produced is a technique known as price costing system job costing system sale costing system process costing system 8 / 50 8) Procedure of assigning direct cost to any cost abject is classified as sales allocation cost allocation sales tracing cost tracing 9 / 50 9) Systematic way of linking group of indirect cost to a cost object is classified as cost allocation base indirect allocation base direct allocation base linked allocation base 10 / 50 10) If cost incurred for work in process inventory is $350000 and total equivalent units completed till date are 3500, then weighted average cost will be $1,000 $100 $10 $1,200 11 / 50 11) If an actual indirect cost incur is $35000 and indirect cost allocated is $43000, then under allocated indirect cost will be -$78000 $8,000 -$8000 $78,000 12 / 50 12) If budgeted cost in indirect cost pool is $144500 and total quantity of cost allocation base is $165500, then budgeted indirect cost rate will be 87.31% 67.30% 45.50% 55.50% 13 / 50 13) In normal costing, manufacturing overhead allocated is also called labour overhead applied cost overhead applied budget overhead applied manufacturing overhead applied 14 / 50 14) Budgeted annual indirect costs are divided to budgeted annual quantity of cost allocation base to calculate budgeted indirect cost rate budgeted direct cost rate expected indirect cost rate expected direct cost rate 15 / 50 15) Cost of previous department is a part of transferred-in costs transferred-out costs FIFO costs LIFO costs 16 / 50 16) If budgeted annual manufacturing indirect cost is $2250000 and cost allocation base is 2800 labour hour, then budgeted manufacturing overhead rate will be $803.571 per labour hour $905 per labour hour $802 per labour hour $805 per labour hour 17 / 50 17) If beginning work in process equivalent units are 2500 units, work done in current period equivalent units are 3800 units and ending work in process equivalent units are 5000, then complete equivalent units in current period are 1500 units 1500 units 1300 units 1800 units 18 / 50 18) Spread of over allocated overhead and under allocated overhead among work in process, finished goods and goods sold cost is classified as proration approach appreciation approach depreciation approach adjusted approach 19 / 50 19) In an accounting system, document which supports journal entries is classified as cost document direct document source document priced document 20 / 50 20) If total incurred cost in a production process are $30000 and number of output units are 5000 units, then units cost will be $6 $16 $60 $26 21 / 50 21) In process costing method, when work done in current accounting period and beginning inventory before current accounting period, is classified as Last-in, first-out method partial inventory costing method current period inventory method First-in, first-out method 22 / 50 22) In a normal accounting period, an allocated amount of indirect cost is $700 and an actual amount is $800, then this can be classified as over allocated budget under allocated budget over allocated direct cost under allocated indirect cost 23 / 50 23) Costing and allocating situation, in which indirect cost allocated amount is less than actually incurred amount is known as over allocated direct cost under allocated budget under allocated indirect cost over allocated budget 24 / 50 24) If an actual manufacturing overhead costs is $485000 and actual total quantity of cost allocation base is 4500 labour hours, then overhead rate would be $104.34 $106.56 109.87 $107.78 25 / 50 25) Hybrid costing system, which is applied to batches of similar products, but are not identical is classified as operation costing system inventoriable costing system incremental costing system split off costing system 26 / 50 26) Manufacturing overhead cost allocated to individual jobs is classified as manufacturing overhead allocated manufacturing overhead applied both A and C cost overhead applied 27 / 50 27) Costing system, which is a combination of process costing and job costing system is classified as hybrid costing system average costing system double costing system weighted costing system 28 / 50 28) Costing and allocating situation, in which indirect cost allocated amount is less than actually incurred amount is known as under allocated indirect cost over allocated budget over allocated direct cost under allocated budget 29 / 50 29) If an actual indirect cost incurred is $25000 and indirect cost allocated is $23000, then over allocated indirect cost would be -$2000 $2,000 $48,000 -$48000 30 / 50 30) Total cost related to work in process inventory is divided by total units of work done is used to calculate weighted average cost weighted average revenue weighted average conversion cost Gross weighted margin 31 / 50 31) If budgeted cost in indirect cost pool is $139600 and total quantity of cost allocation base is $155600, then budgeted indirect cost rate would be 69.72% 89.72% 99.75% 79.72% 32 / 50 32) In normal costing, budgeted rate is multiplied to an actual quantity, which have been used as allocation base to calculate budget overhead applied none of these labour overhead applied manufacturing overhead applied 33 / 50 33) If an actual manufacturing overhead costs is $225000 and actual total quantity of cost allocation base is 2500 labour hours, then overhead rate will be $90 $60 $70 $80 34 / 50 34) First step in process costing system is to compute cost for each equivalent unit summarize total costs compute output in units summarize flow of output 35 / 50 35) Costing system, which classify cost into cost categories in a way when an expense is incurred in process is called job costing system inventory costing system process costing system conversion expense costing system 36 / 50 36) If an allocated indirect cost is $1500 and actual incurred indirect cost is $1200, then this is classified as applied direct cost applied indirect cost over allocated indirect cost incurred indirect cost 37 / 50 37) Standardized technique that is performed repetitively on different kind of materials to convert them into different finished products is known as both a and b conversion process operation hybridization 38 / 50 38) Costing technique, in which actual direct rates are multiplied to quantity of direct cost inputs is classified as direct costing indirect costing priced costing actual costing 39 / 50 39) If budgeted indirect cost arte is $225 and budgeted cost allocation base is $750 per hour, then annual indirect cost (budgeted) would be $186,750 $168,750 $148,570 $125,680 40 / 50 40) In accounting system, a document which consists of all assigned cost for specific job is classified as both a and b job cost sheet source document job cost record 41 / 50 41) An allocation approach, in which all overhead entries are restated using actual cost rates in place of budgeted rates is called adjusted allocation rate approach unadjusted budget rate approach unadjusted allocation rate approach adjusted budget rate approach 42 / 50 42) Second step in processing costing system is to compute cost for each equivalent unit summarize flow of output summarize total costs compute output in units 43 / 50 43) Systematic way of linking group of indirect cost to a cost object is classified as cost allocation base linked allocation base indirect allocation base direct allocation base 44 / 50 44) In a normal accounting period, allocated amount of indirect cost is $2000 and actual amount is $2200, then this is classified as under allocated budget under allocated indirect cost over allocated budget over allocated direct cost 45 / 50 45) Fifth step in process costing system is to allocate joint costs compute gross margin assign total cost to completed units allocate separable costs 46 / 50 46) First step in constant gross margin percentage NRV method is to allocate joint to compute cost of split off point total production cost of each product Gross margin percentage allocated joint costs 47 / 50 47) If budgeted annual indirect cost is $850000 and budgeted annual quantity of cost allocation base is $7500, then budgeted indirect cost rate would be 112.34 per piece 113.33 per piece 111.34 per piece 110.34 per piece 48 / 50 48) Costs that are incurred in last department, where product has been processed and will be carried to next department for further processing are called partial work costs transferred-in costs weighted average costs transferred-out costs 49 / 50 49) If beginning work in process equivalent units is 2500 units, work done in current period equivalent units is 3800 units and units completed in current period are 4000, then ending work in process equivalent units will be 1800 units 1500 units 2300 units 10300 units 50 / 50 50) If budgeted indirect cost base is $115 and budgeted cost allocation base is $830 per hour, then annual indirect cost (budgeted) will b $95,450 $93,450 $96,450 $94,560 Your score isThe average score is 0%🎉 Challenge alert! 💡 Share this quiz with your friends and see who scores the highest! 🏆🤩🔥 LinkedIn Facebook Follow Us @ 0% Restart quiz Exit We’d love to hear your thoughts! 📝 Share your valuable review with us. 🙌 🌟 Thank you for your support! 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