SUGGESTED ANSWERS TO QUESTIONS
INTERMEDIATE EXAMINATION
GROUP - I
(SYLLABUS 2016)
DECEMBER- 2021
Paper- 8 : COST ACCOUNTING
Time Allowed : 3 Hours Full Marks : 100
Section : A MCQ 20X1 = 20 Marks
Q.1 Cost units used in power sector is called:
Ans 1. Number of hours
2. Kilo meter (K. M)
3. Number of electric points
4. Kilowatt-hour(KWH)
Q.2 Cost units of Automobile Industry is .
Which word(s) according to you appropriately fills in above blank?
Ans 1. Cubic meter
2. Number of vehicle
3. Bed Night
4. Number of call
Q.3 Which of the following most appropriately defines 'Idle time'?
Ans 1. Time spent by workers in factory
2. Time spent by workers in office
3. Time spent by workers off their work
4. Time spent by workers on their job
Q.4 The allotment of whole items of cost of centers or cost unit is called
Ans 1. Overhead absorption
2. Cost allocation
3. None of these
4. Cost apportionment
Q.5 If an organization has all the resources it needs for production, then the principalbudget factor is most likely to be
Ans 1. labour supply
2. sales demand
3. raw materials
4. non-existing
Q.6 Time and motion study is conducted by the
Ans 1. Time –keeping department
2. Payroll department
3. Personnel department
4. Engineering department
Q.7 Sales budget is an example of
Ans 1. Functional budget
2. Master budget
3. Expenditure budget
4. Capital budget
, Q.8 Absolute Tonne-km. is an example of:
Ans 1. Composite unit in power sector
2. Composite unit for oil and natural gas
3. Composite unit for bus operation
4. Composite unit of transport sector
Q.9 Which of the following is not an element of master budget?
Ans 1. Capital Expenditure Budget
2. Production Schedule
3. Operating Expenses Budget
4. All of these
Q.10 Selling and distribution overheads are absorbed on the basis of
Ans 1. rate per unit
2. Any of these
3. percentage on selling price of each unit
4. percentage on works cost.
Q.11 Standards deals with the principles and methods of determining depreciation and amortization cost-
Ans 1. CAS 12
2. CAS 9
3. CAS 16
4. CAS 15
Q.12 Which of the following is a service department?
Ans 1. Machining department
2. Finishing department
3. Refining department
4. Receiving department
Q.13 Batch Costing is a type of .
Which word(s) according to you appropriately fills in the above blank?
Ans 1. Direct Costing
2. Process Costing
3. Job costing
4. Differential Costing
Q.14 Audit fees paid to cost auditors is part of:
Ans 1. Administration Cost
2. None of these
3. Selling & Distribution cost
4. Production cost
Q.15 Which of the following is not an element of works overhead?
Ans 1. Sales manager’s salary
2. Factory repairman’s wages
3. Product inspector’s salary
4. Plant manager’s salary
Q.16 In Reconciliation Statement expenses shown only in cost accounts are
Ans 1. Deducted from financial profit
2. Ignored
3. Added to financial profit
4. Deducted from costing profit
INTERMEDIATE EXAMINATION
GROUP - I
(SYLLABUS 2016)
DECEMBER- 2021
Paper- 8 : COST ACCOUNTING
Time Allowed : 3 Hours Full Marks : 100
Section : A MCQ 20X1 = 20 Marks
Q.1 Cost units used in power sector is called:
Ans 1. Number of hours
2. Kilo meter (K. M)
3. Number of electric points
4. Kilowatt-hour(KWH)
Q.2 Cost units of Automobile Industry is .
Which word(s) according to you appropriately fills in above blank?
Ans 1. Cubic meter
2. Number of vehicle
3. Bed Night
4. Number of call
Q.3 Which of the following most appropriately defines 'Idle time'?
Ans 1. Time spent by workers in factory
2. Time spent by workers in office
3. Time spent by workers off their work
4. Time spent by workers on their job
Q.4 The allotment of whole items of cost of centers or cost unit is called
Ans 1. Overhead absorption
2. Cost allocation
3. None of these
4. Cost apportionment
Q.5 If an organization has all the resources it needs for production, then the principalbudget factor is most likely to be
Ans 1. labour supply
2. sales demand
3. raw materials
4. non-existing
Q.6 Time and motion study is conducted by the
Ans 1. Time –keeping department
2. Payroll department
3. Personnel department
4. Engineering department
Q.7 Sales budget is an example of
Ans 1. Functional budget
2. Master budget
3. Expenditure budget
4. Capital budget
, Q.8 Absolute Tonne-km. is an example of:
Ans 1. Composite unit in power sector
2. Composite unit for oil and natural gas
3. Composite unit for bus operation
4. Composite unit of transport sector
Q.9 Which of the following is not an element of master budget?
Ans 1. Capital Expenditure Budget
2. Production Schedule
3. Operating Expenses Budget
4. All of these
Q.10 Selling and distribution overheads are absorbed on the basis of
Ans 1. rate per unit
2. Any of these
3. percentage on selling price of each unit
4. percentage on works cost.
Q.11 Standards deals with the principles and methods of determining depreciation and amortization cost-
Ans 1. CAS 12
2. CAS 9
3. CAS 16
4. CAS 15
Q.12 Which of the following is a service department?
Ans 1. Machining department
2. Finishing department
3. Refining department
4. Receiving department
Q.13 Batch Costing is a type of .
Which word(s) according to you appropriately fills in the above blank?
Ans 1. Direct Costing
2. Process Costing
3. Job costing
4. Differential Costing
Q.14 Audit fees paid to cost auditors is part of:
Ans 1. Administration Cost
2. None of these
3. Selling & Distribution cost
4. Production cost
Q.15 Which of the following is not an element of works overhead?
Ans 1. Sales manager’s salary
2. Factory repairman’s wages
3. Product inspector’s salary
4. Plant manager’s salary
Q.16 In Reconciliation Statement expenses shown only in cost accounts are
Ans 1. Deducted from financial profit
2. Ignored
3. Added to financial profit
4. Deducted from costing profit
