Costing - Study Mode

[#806] Contribution less fixed cost is
Correct Answer

(A) Profit

[#807] If the prime cost is Rs. 50,000 and factory cost will Rs. 70,000 and office overhead is 50% of factory overhead, then the production cost will be
Correct Answer

(D) 80,000

[#808] . . . . . . . . determines the priorities of functional budget.
Correct Answer

(C) Both A and B

[#809] When actual loss is less than the estimated loss, the difference between the two is considered to be . . . . . . . .
Correct Answer

(A) abnormal gain

[#810] If number of units are 3000 and per unit price is $500, then flexible budget variable will be
Correct Answer

(A) $1,500,000

Explanation

Solution: Flexible budget variable = Number of units × per unit price = 3000 × $500 = $1,500,000