41
While calculating gross profit, if net profit is given, then,
A)
It can be converted into gross profit by adding interest to it
B)
It can be converted into gross profit by adding indirect expenses to it
C)
Both A and B
D)
None of the above
Answer & Solution
Answer: Option
A
42
Match the following.
List-I (Variances)List-II (Causes)
a. Overhead efficiency variance
1. Power failure
b. Overhead volume variance
2. Appointing low grade employees
c. Labour idle time variance
3. Poor working condition
d. Labour efficiency variance
4. Working days being more or less than budgeted
A)
a-4, b-3, c-2, d-1
B)
a-3, b-4, c-1, d-2
C)
a-3, b-1, c-4, d-2
D)
a-2, b-1, c-4, d-3
Answer & Solution
Answer: Option
B
43
. . . . . . . . is the assessment of the relative worth of jobs within a company whereas . . . . . . . . is the assessment of the relative worth of man behind the job.
A)
Job evaluation, merit rating
B)
Job analysis, job evaluation
C)
Job analysis, merit rating
D)
None of these
Answer & Solution
Answer: Option
A
44
What is Economic Order Quantity?
A)
Cost of an order
B)
Cost of stock
C)
Reorder level
D)
Optimum order size
Answer & Solution
Answer: Option
D
45
An estimated price, which is expected to be paid by customers for particular market offering is classified as
A)
target price
B)
target cost
C)
outsource price
D)
offshore price
Answer & Solution
Answer: Option
A
46
Cost which are recorded in the books after expenditure is incurred but before profit is realized
A)
Total cost
B)
Estimated cost
C)
Unfinished cost
D)
Standard cost
Answer & Solution
Answer: Option
C
47
Which of the following expenditure groups are direct expenses of the business?
A)
Salary, wages and shop rent
B)
Stationary post and telephone bills
C)
Wages, input vehicle expenses and local taxes
D)
Advertisement, statutory fee and audit fee
Answer & Solution
Answer: Option
C
48
In marginal costing, contribution is equal to
A)
Sales - Fixed cost
B)
Sales - Variable cost
C)
Sales - Profit
D)
Sales - Variable Cost + Fixed cost
Answer & Solution
Answer: Option
B
49
Match the items of
List-I with those of
List-II .
List-I List-II
a. Acid test ratio
1. Profitability analysis
b. Debt service coverage ratio
2. Activity analysis
c. Debt equity ratio
3. Liquidity analysis
d. Stock turnover ratio
4. Long-term solvency analysis
A)
a-2, b-1, c-3, d-4
B)
a-2, b-3, c-4, d-1
C)
a-3, b-4, c-1, d-2
D)
a-3, b-1, c-4, d-2
Answer & Solution
Answer: Option
D
50
. . . . . . . . expenses are excluded from cost.
A)
Normal
B)
Abnormal
C)
Both A and B
D)
None of these
Answer & Solution
Answer: Option
B
