Question No: 1    ( Marks: 1 )    - Please choose one

D Corporation uses process costing to calculate the cost of manufacturing Crunchies. During the month 12,500 units were completed, 1,500 units remained in work in process at 25 percent completed. How many equivalent units are produced?

 

► 12,500 units

► 12,875 units

► 14,250 units

► 12,125 units

Question No: 2    ( Marks: 1 )    - Please choose one

During the year 60,000 units put in to process.55, 000 units were completed. Closing WIP were 25,000 units, 40% completed. How much the equivalent units of output would be produced?

 

► 25,000 units

► 10,000 units

► 65,000 units

► 80,000 units

 

Question No: 3    ( Marks: 1 )    - Please choose one

FIFO is the  abbreviation of:

► Final Interest-Free Option

► First in First out Method

► None of the given options

► Fixed income  Financial Operations

Question No: 4    ( Marks: 1 )    - Please choose one

The cost that is subject to actual payment or will be paid for in future is called:

 

► Fixed cost

► Step cost

► Explicit cost

► Imputed cost

Question No: 5    ( Marks: 1 )    - Please choose one

A cost that has been incurred but cannot be changed by present or future decisions is called:

► Sunk cost

► Differential cost

► Opportunity cost

► Marginal cost

Question No: 6    ( Marks: 1 )    - Please choose one

In the process costing when material is issued for production to department no 1.what would be the journal entry Passed?

 

► W.I.P (Dept-I)

To Material a/c

 

► W.I.P (Dept-ii)

To Material a/c

 

► Material a/c

To W.I.P (Dept-ii)

 

► W.I.P (Dept-ii)

To FOH applied.

 

 

 

 

Question No: 7    ( Marks: 1 )    - Please choose one

Which of the following loss is not included as part of the cost of transferred or finished goods, but rather treated as a period cost?

► Operating loss

► Abnormal loss

► Normal loss

► Non-operating loss

Question No: 8    ( Marks: 1 )    - Please choose one

In the process costing when labor is charged to production department no 1. What would be the journal entry Passed?

 

► Payroll a/c

To W.I.P (Dept-I)

 

► Payroll a/c

To W.I.P (Dept-II)

 

► W.I.P (Dept-I)

To Payroll a/c

 

► W.I.P (Dept-II)

To Payroll a/c

 

Question No: 9    ( Marks: 1 )    - Please choose one

In a process costing system, the journal entry used to record the transfer of units from Department A, a processing department, to Department B, the next processing department, includes a debit to:

► Work in Process Department A and a credit to Work in Process Department B

► Work in Process Department B and a credit to Work in Process Department A

► Work in Process Department B and a credit to Materials

► Finished Goods and a credit to Work in Process Department B