Answer any
five questions:-
1. How do cost accounting record
helps in the planning & control of operation of a business enterprise?
Discuss in detail. (20)
2. Explain the following &
give examples: - (10x2)
a)
Direct material & indirect material.
b)
Direct wages & indirect wages.
3. What is ‘Overtime wages’? How
overtime wages should be treated in cost accounts? How would you control the
payment of
Overtime wage? (4+8+8)
4. Explain the disadvantages of
‘Standard costing’. What are the difference between ‘Standard’ & ‘Process’
costing? (10+10)
5. Write short notes on:- (5x4)
a)
By products.
b)
Job costing.
c)
Work-in-progress.
d)
Profit centre.
6. The following particulars have
been obtained from the cost records of on industrial concern:- (10+10)
Particulars Rs.
Stock
of raw materials on June 1, 92’ 30000
Purchase
of raw materials during the month 450000
Wages
paid 230000
Factory
overhead 92000
Work-in-progress
June 1, 92’ 12000
Stock
of raw materials on June 30, 92’ 25000
Work
in progress on June 30, 92’ 15000
Stock
of finished goods on June 1, 92’ 60000
Stock
of finished goods on June 30, 92’ 55000
Selling
& distribution overhead 20000
Sales 900000
Administrative
overheads 30000
Interest
on Bank loan 5000
From the above information,
prepare the following statement:-
a)
Statement of cost of production of goods manufactured.
b)
Statement of cost of
finished goods sold.
7. Compute material cost variance,
material price variance & material quantity variance from the following
data. Verify the accuracy of your results:- (15+5)
Standard quantity per product 4 units
Standard price per unit of raw
materials Rs3
Actual quantity for the total
output 18000 units
Actual price per unit Rs4
Output 5000
units
8. The manufactures of a certain
product requires two distinct processes. Process A & Process B. The
following information for a Costing period applies to Process A:-
Direct
materials 15000
Direct
wages 8000
Production
overhead 7000
Complete production amounted to
1700 units, but the following units were only partly complete:-
400
units were 50% complete
400
units were 25% complete
Prepare ‘Process A’ accounts
incorporating the columns of units & amounts. Show separately the
calculation of Work-in-progress (closing) in units & amount. (10+10)