BCom In Accounting & Finance (BCAF) SEM III 2018 2019 Oct 2019 COST ACC METHODS OF COSTING Question Paper - Mumbai University | munotes

Questions asked in this paper

• Figures to the right indicate full marks

1. Q1 (A) Fill in the blanks with the correct alternative and rewrite (Any 8 out of 10) 8 marks
2. Q1 Prime Cost is also known as cost. (Direct Indirect Works)
3. Q2 Abnormal gain is excess of actual output over output
4. Q4 expenses are ignored while making Cost Sheet. (Selling
5. Q5 for joint product means apportionment of joint cost to each of the joint
6. Q6 Dividend received is shown in a/c (Cost /Financial)
7. Q7 expense is an example of Selling Overheads. (Rent Advertisement)
8. Q8 is valued in terms of cost. (Work uncertified Work certified)
9. Q9 Process Cost per unit = (Process Cost — Scrap Value of Normal Loss) +
10. Q10 Cost of Secondary Packing Material is treated as . (Direct Cost Selling
11. Q1 (B) State whether following statements are True or False and rewrite the sentences (Any 7 out of 10) 7 Marks
12. Q1 Cost of Production = Works Cost + Administrative Overheads
13. Q2 Notional Rent is shown in Cost Accounts Need for reconciliation arises because of difference in valuation of stocks in cost and
14. Q4 In process costing, Abnormal gain is not valued at process cost per unit
15. Q5 Under physical unit method of apportionment of joint cost, joint cost is divided by total units of joint products produced
16. Q6 Joint costs refer to the total costs incurred after the Split Off Point
17. Q7 While making Estimated Cost Sheet, Administrative Overheads can be recovered as a percentage of Works Cost
18. Q8 If contract is 80 % complete, then of Notional Profit is transferred to P&L a/c
19. Q9 If cash received is Rs. 10,00.000 being 50% of Work Certified, then value of work
20. Q10 A contract is a big job involving small outlay of expenditure Paper Subject Code: 79810 Cost Accounting (Methods of Costing)
21. Q2 (A) Followings details are furnished by MBA LTD. of expenses incurred during the year ended March Closing stock of finished goods to be valued at cost of production You are required to prepare cost sheet showing various elements of cost both in total and per unit and also find out total profit and per unit profit 15 marks
22. Q2 (B) 8+7 = From the following particulars, you are required to prepare Cost Sheet 15 marks
    • (ii) From the following information you are required to prepare a statement reconciling the results of cost books: Paper Subject Code: 79810 Cost Accounting (Methods of Costing) - II The following is the summary of the entries in a contract ledger as on 2017 in respect of Contract No. 51: You are given the following information: Accruals on 31-12-2017 are: Wages Rs. 1,600 and Direct Expenses Rs. 2,200 Depreciation on plant up to 31-12-2017 is Rs. 17,100 Work Uncertified was Rs. 9,000 Materials on site on 31-12-2017 cost Rs. 20,000 Work certified was Rs. 1,25,000 Prepare contract account no. 51 and show that profit & loss should be taken into account for the
23. Q3 (B) The following is the summary of the entries in a Contract Ledger as on December 2017 in respect of Contract No. 535 The further information is as follows: Accruals December 2017 were wages Rs. 1,000 and direct expenses Rs. 3,000 The cost of work uncertified was Rs. 8,000 Rs. 4,000 worth of materials were destroyed by fire Materials costing Rs. 3,000 were sold for Rs. 4,000 Depreciation till 31-12-2017 on plant was Rs. 12,000 Materials at site were Rs. 6,000 Cash received from the Contractee was Rs. being 80% of work certified Contract price was Rs. 2, 50,000 Transfer 2/3" profit on cash basis to P&L A/c Paper Subject Code: 79810 Cost Accounting (Methods of Costing) - II 15 marks
24. Q4 (A) In a factory the product passes through 2 process, A and B. A weight loss of 5% is allowed in process A and 2% in process B, nothing being realized by disposal of the wastage. During 10,000 units of material costing Rs. 6 per unit were introduced in Process A. The other costs were as follows: Abnormal loss is sold at Rs. 10 per unit. The output was 9,400 units from the process which was transferred to Process B. 9,200 units were produced by Process B, which were transferred to the warehouse. Prepare Process Accounts A and B, assuming there were no opening stocks of any type Also prepare Normal Loss a/c and Abnormal Loss a/c 15 marks
25. Q4 (B) A product passes through 3 process and 40,000 units were introduced in Process cost of Rs 30,000. The following further information is available: The closing stock in each process is valued at respective process cost Prepare Process A, B and C Accountsand Process A, B StockAccounts 15 marks
26. Q5 (a)Explain advantages and disadvantages of Process Costing. 8 marks
27. Q5 meaning and utility of Cost Sheet. 7 marks
28. Q5 (c) Write short notes (Any three) 3*5 = 15 marks
29. Q1 Explain classification of cost on the basis of elements li) Explain need for reconciliation between cost a/c and financial a/c
    • iii) Explain advantages of contract costing
    • iv) Explain applicability of process costing
    • v) Explain the concept of work certified and work uncertified

Read from the scan above, so a character or two may differ. The scan is the original.