Costing - Study Mode
[#816] Costs of all activities for a group of products, rather than individual product can be classified as
Correct Answer
(C) batch level costs
Explanation
Solution: Costs of all activities for a group of products, rather than individual product can be classified as batch level costs. A batch-level cost is a cost related to a group of units, but which is not associated with specific individual units.
[#817] Product which requires low amount of resources, but incur high per unit cost is classified as
Correct Answer
(D) product over costing
Explanation
Solution: Product which requires low amount of resources, but incur high per unit cost is classified as product over costing. Product costing is also known as traditional costing. This method seeks to allocate all costs down to individual units of finished product.
[#818] Match the group of List-I with those of List-II and choose the correct answer List-I List-II a. Direct wages 1. Factory expenditure b. Packing 2. Prime cost c. Depreciation 3. Sales cost d. Legal expenses 4. Office expenses
Correct Answer
(B) a-2, b-3, c-1, d-4
[#819] Cost of production is equal to . . . . . . . .
Correct Answer
(A) works cost plus administration overheads
[#820] When the actual loss is more than the estimated loss, the difference between the two is considered to be . . . . . . . .
Correct Answer
(A) abnormal loss