Costing - Study Mode

[#561] The cost of . . . . . . . . process loss is absorbed in the cost of production of good units.
Correct Answer

(B) normal

[#562] Match the following. List-I List-II a. Earning ability of firm 1. Basis of accounting b. Conservatism 2. P/V ratio c. Cash profit 3. Cash flow statement d. Cash and accrual 4. Prudence
Correct Answer

(A) a-2, b-4, c-3, d-1

[#563] If slope coefficient is 0.60 and difference in machine hours is 50000, then difference in cost can be
Correct Answer

(C) $30,000

Explanation

Solution: Slope coefficient = Difference in costs ÷ Difference in machine hours Difference in cost = Difference in machine hours × Slope coefficient = 50000 × 0.60 = $30,000

[#564] Fifth step in quantitative analysis of estimating cost function is to
Correct Answer

(A) estimate cost function

Explanation

Solution: Fifth step in quantitative analysis of estimating cost function is to estimate cost function. A cost estimate is the approximation of the cost of a program, project, or operation. The cost estimate is the product of the cost estimating process.

[#565] Lower level of production leads to
Correct Answer

(B) lower repair cost

Explanation

Solution: Lower level of production leads to lower repair cost.