"Which of the following statements is/are correct?
1. A materials requisition note is used to record the issue of direct material to a specific job.
2. A typical job cost will contain actual costs for material, labour and production overheads, and non –production overheads are often added as a percentage of total production cost.
3. The job costing method can be applied in costing batches"
A. (1) only
B. (1) and (2) only
C. (1) and (3) only
D. (2) and (3) only
Answer: Option C
Solution(By Examveda Team)
The following statements that are correct are: A materials requisition note is used to record the issue of direct material to a specific job and The job costing method can be applied in costing batches.Related Questions on Costing
Basic objective of cost accounting is ________
A. tax compliance.
B. financial audit.
C. cost ascertainment.
D. profit analysis.
Process costing is suitable for ________.
A. hospitals
B. oil refing firms
C. transport firms
D. brick laying firms
The cost which is to be incurred even when a business unit is closed is a _____.
A. imputed cost
B. historical cost
C. sunk cost
D. shutdown cost
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