SCDL management accounting paper symbiosis solved papers 2012

 SCDL MANAGEMENT ACCOUNTING PAPER ANS ASSIGNMENT 2012

	Multiple Choice Multiple Answer   Question   The selection of the supplier may depend upon the following aspects:   Correct Answer   Geographical location of the supplier , Price quoted by the supplier , Goodwill of the supplier   Your Answer   Geographical location of the supplier , Price quoted by the supplier , Goodwill of the supplier  Multiple Choice Single Answer   Question   Net book value of loose tools as on 1st April, 2003 was Rs.45,000/-. As on 31st March, 2004 the management felt that the real worth of these loose tools is only Rs.30,000/-. What can be done to achieve the desired reduction in the net book value of loose tools?   Correct Answer   By providing depreciation to the extent of Rs.15,000/-   Your Answer   By providing depreciation to the extent of Rs.15,000/-  True/False   Question   Overhead absorption rate will be different at different capacity levels.   Correct Answer   True   Your Answer   True  Select The Blank   Question   The budget that represents the funds investment for expansion, diversification, etc. is known as ________.   Correct Answer   Capital expenditure budget   Your Answer   Capital expenditure budget  Select The Blank   Question   The ________ variance is the difference between the actual variable overhead incurred and the standard variable overhead charged to production.   Correct Answer   Total variable overhead   Your Answer   Total variable overhead  Multiple Choice Single Answer   Question   The cost that indicates historical cost, which is incurred in past, is known as   Correct Answer   Sunk cost   Your Answer   Sunk cost  Select The Blank   Question   Information as to the cost and profit / loss associated with the firm's operations is provided to the ________ by Management accounting.   Correct Answer   Management   Your Answer   Management  Select The Blank   Question   Factory cost of a product is Rs.335,000/-, if the selling overheads are charged @25% of factory cost, then the amount of selling overheads should be Rs.________/-   Correct Answer   83750   Your Answer   83750  Select The Blank   Question   Uniform costing is not a separate method of ________.   Correct Answer   cost accounting   Your Answer   cost accounting  Multiple Choice Multiple Answer   Question   Which of the following budgets may be termed as a long term budget?   Correct Answer   Capital expenditure budget , Research and Development expenditure budget , Budget of a transportation company   Your Answer   Capital expenditure budget , Research and Development expenditure budget  Multiple Choice Single Answer   Question   The following figures relate to a company manufacturing a varied range of products : Year 2003 Total sales Rs.22,23,000/- and total cost Rs.19,83,600/-. Year 2004 : Total sales Rs.24,51,000/- and Total cost Rs.21,43,200/-. Assuming stability in prices, calculate the profit volume ratio   Correct Answer   0.3   Your Answer   0.3  Multiple Choice Single Answer   Question   The cost of idle time incurred by employees that is considered normal for the production process should be charged to :   Correct Answer   Factory overheads   Your Answer   Direct labour  Select The Blank   Question   Creche expenses may be appropriately approtioned on the basis of ________.   Correct Answer   Number of female workers   Your Answer   Number of female workers  Multiple Choice Single Answer   Question   Opening stock of Rs.1,80,000/-, purchases Rs.8,00,000/-, freight inward Rs.35,000/-, closing stock Rs.2,00,000/-, direct wages Rs.2,35,000/-. Calculate the prime cost.   Correct Answer   Rs.10,50,000/-   Your Answer   Rs.10,70,000/-  Multiple Choice Multiple Answer   Question   Limitations of Management Accounting includes-------------------   Correct Answer   Its wide scope , Possibility of intuitive decision , Requires elaborate organizational structure   Your Answer   Its wide scope , Possibility of intuitive decision , Requires elaborate organizational structure  Select The Blank   Question   Indirect Cost is termed as ________.   Correct Answer   Overhead   Your Answer   Overhead  Multiple Choice Multiple Answer   Question   Features of Financial Accounting includes-----------------   Correct Answer   It is a legal requirement , It protects the interest of outsiders , It considers historical transactions   Your Answer   It is a legal requirement , It protects the interest of outsiders , It considers historical transactions  Multiple Choice Multiple Answer   Question   Identify the budgets for which the production manager sould be held responsible :   Correct Answer   Production budget , Production overheads budget , Plant utilisation budget   Your Answer   Production budget , Production overheads budget , Plant utilisation budget  Multiple Choice Single Answer   Question   A group of 10 men and 20 women workers were expected to produce 400 units of a product in an 8 hour day. The standard hourly rate was fixed at Rs.25/- and Rs.15/-, respectively.Actually, a group of 15 men and 10 women workers was deployed and paid for 8 hours a day at an hourly rate of Rs.22/- and Rs.18/-, respectively. Two hours were wasted for the entire group due to power failure and only 300 units were produced. Calculate labour rate variance.   Correct Answer   Rs.120/- (Favourable)   Your Answer   Rs.150/- (Favourable)  Multiple Choice Multiple Answer   Question   Techniques of management accounting include:   Correct Answer   Marginal costing , Budgetary control , Standard costing   Your Answer   Cost control , Budgetary control , Standard costing  True/False   Question   A grinding machine is an example of impersonal cost centre   Correct Answer   True   Your Answer   True  True/False   Question   Profitability statement indicates the amount of assets & liabilities.   Correct Answer   False   Your Answer   False  Multiple Choice Single Answer   Question   Uniform costing system is useful in the following areas   Correct Answer   Classification of cost accounts   Your Answer   Preparing financial statements  Multiple Choice Multiple Answer   Question   The features of multiplicity of key factors are as follows :   Correct Answer   More than one key factors , Refers to a complex situation , Can be resolved by using linear programming technique   Your Answer   More than one key factors , Refers to a complex situation , Can be resolved by using linear programming technique  True/False   Question   Balance sheet indicates the expenditure & income from the business.   Correct Answer   False   Your Answer   False  True/False   Question   Interim dividend paid by the company should be debited to the profit and loss appropriation account.   Correct Answer   True   Your Answer   True  Multiple Choice Multiple Answer   Question   A materials requisition form normally contains the following aspects:   Correct Answer   Quantity requisitioned , Per unit material cost , Job number   Your Answer   Quantity requisitioned , Job number  Multiple Choice Multiple Answer   Question   The production budget may be prepared in terms of :   Correct Answer   Units produced , Production cost , Material cost, labour cost and overheads   Your Answer   Units produced , Production cost , Material cost, labour cost and overheads  Multiple Choice Single Answer   Question   Panna Ltd. temporarily has excess production capacity. The idle plant facilties can be used to manufacture a low-margin item. The low-margin item should be produced if it can be sold for more than its:   Correct Answer   Variable costs   Your Answer   Variable costs  Multiple Choice Multiple Answer   Question   If the sales forecast is less than the past sales but the top management insists upon a certain amount of additional profits, then following steps can be taken to achieve the target profit   Correct Answer   Increase the selling price , Reduce cost of sales , Increase the selling efforts   Your Answer   Increase the selling price , Increase the sales volume , Reduce cost of sales  True/False   Question   Receipts and payments method of cash budget is useful for preparing long term estimates.   Correct Answer   False   Your Answer   False  Multiple Choice Multiple Answer   Question   Select the advantages of standard cost system.   Correct Answer   Provides reliable basis for budgeting , Facilitates delegation of authority , Promotes economy and efficiency   Your Answer   Provides reliable basis for budgeting , Facilitates delegation of authority  True/False   Question   The sales mix variance highlights the fact that the actual mix of sales has been in the same ratio as budgeted.   Correct Answer   False   Your Answer   False  Select The Blank   Question   In case of seasonal industry, the budget period may be taken as ________.   Correct Answer   One season   Your Answer   One season  True/False   Question   Lack of efficient control on various aspects related to raw-material increases the material cost component of the finished product.   Correct Answer   True   Your Answer   True  True/False   Question   Due to compensating errors the arithmetical accuracy of the trial balance is affected.   Correct Answer   False   Your Answer   False  Multiple Choice Single Answer   Question   Material price variance for a job is Rs.800/- (Favourable). Actual quantity of material used is 100 kg whereasthe standard quantity of material is 120% of actual quantity. Actual price paid for the material is 80% of the standard price. Calculate material cost variance.   Correct Answer   Rs.1,600/- (Favourable)   Your Answer   Rs.800/- (Favourable)  Select The Blank   Question   The process of recording the business transactions in a defined set of records is referred to as ________.   Correct Answer   Balance sheet   Your Answer   Profit and Loss Account  Match The Following Question Correct Answer Your Answer Daily Time sheets Time spent by worker on job is recorded Time spent by worker on job is recorded Time Keeping Department Recording of workers time Recording of workers time Time booking department Jobwise booking of time. Jobwise booking of time. Time Recording Clock Method Ticket number & clock card allotted to worker Ticket number & clock card allotted to worker  True/False   Question   Purchased goods by paying Rs.35,000/-: In this case, the cash account should be debited.   Correct Answer   True   Your Answer   True  Select The Blank   Question   If the customer is not likely to pay the amount receivable from him, this amount should to be treated as ________.   Correct Answer   Bad debts   Your Answer   Bad debts  True/False   Question   Accounting is an art of recording, classifying & summarizing in a significant manner.   Correct Answer   True   Your Answer   True  Match The Following Question Correct Answer Your Answer Book-Keeping Books of Accounts Books of Accounts Financial statement Profitability statement & Balance-sheet Profitability statement & Balance-sheet Accounting Process of analyzing & interpretation Process of analyzing & interpretation Profitability statement Indicates the amount of profit earned Indicates the amount of profit earned Balance-sheet Financial status Financial status  True/False   Question   The problem of multiple key factors can be solved with the help of techniques like linear programming, operations research, etc.   Correct Answer   True   Your Answer   True  Select The Blank   Question   The ________ books are preferred when the volume of transactions is very large.   Correct Answer   Subsidiary   Your Answer   Journal  Multiple Choice Multiple Answer   Question   If you are required to enforce uniform costing system in your industry, how would you proceed ?   Correct Answer   Collecting data from all units of your industry , Ensuring that the data collected is complete and correct , Maintaining secrecy of the data collected   Your Answer   Collecting data from all units of your industry , Ensuring that the data collected is complete and correct , Allowing free access to all the units to the collected data  True/False   Question   All costs are controllable.   Correct Answer   False   Your Answer   False