BCom In Accounting & Finance (BCAF) SEM V 2018 19 May 2018-19 Cost Accounting III Question Paper - Mumbai University | munotes

Questions asked in this paper

1. Q1 State whether True or False (Any Eight) 8 marks
   • a) Cost ledger is subsidiary ledger
   • b) Normal loss is treated as normal cost of production
   • c) Four set of books are reconciled under integrated system
   • d) In Process account if there is normal loss the loss is borne by the good units completed
   • e) where abnormal gain arises the scrap value of normal loss must be adjusted to
   • f) A composite unit should reflect the key variables involved in service provision
   • g) Depreciation is a running cost
   • h) Activity based costing uses cost driver as the basis for absorption rate
   • 1) Activity based costing does not require primary distribution of overhead
   • j) Life cycle costing is a technique to establish the total cost of ownership
2. Q1 B)Match the following (Any Seven) Production Overhead Net Profit as per P& L A/c Non-Integrated system Technique of costing Equivalent Units Production X Stage of completion Activity Based Costing Debited to Costing P & L A/c of Capital Equipment 7 marks
3. Q2 The following transactions are extracted from the books of Krabi Ltd. You are required to pass journal entries under integrated accounts system. (15 Marks) Purchase of raw materials on 400000 | Works overheads incurred 360000 2000 | Material issued for repairs 2000 Unproductive Wages paid 60000 | Cost of completed jobs 850000
   • Q. P. Code: 21971
4. Q2 The following balances were extracted from a company ledger as on December 2015 Stock in Progress control Account 14750 Further transactions took place during the following quarter as follows Factory overheads - Allocated to 11780 | Raw Material — Issued to production 17000 Goods Finished — at cost 36830 | Raw Material — credited by supplier 1000 Direct Wages allocated to WIP 18350 | WIP rejected (with no scrap value) 1800 Cost of goods sold 42000 | Customer returns (at cost) of finished 3000 Prepare necessary ledger account and Trail balance (15Marks)
5. Q3 From the following data of M/s Ansh Processing Industry Ltd Number of units introduced into the process 4000 Number of units completed and transferred to the next process 3000 Number of units in process at the end of the period 800 Stage of completion Normal process loss at the end of the process - 200 units Value of scrap — Re. | per unit Value of materials — Rs.7480 Calculate Equivalent Production, Cost per unit of equivalent production, and Process Account 15 marks
6. Q3 A product passes through two process to completion. These processes are known as A and B Output of Process A is transferred to process B at cost plus 25% and finished output of B is similarly transferred to finished stock at cost plus 25%. There was no work in progress in any process on December . On this date the following further information is available Closing stock (valued at Prime 4000 12000
   • Q. P. Code: 21971 Out of the finished stock, a portion remained at hand valued at Rs.11000, the balance was sold for Rs.58000. Prepare Process Accounts and Finished Stock Account (15Marks)
7. Q4 Mr. Mhatre runs mini bus service in the town and has He furnishes you the following data and wants you to compute the cost per running mile. (15Marks) Cost of vehicle 25000 Cost of fuel per litre Miles run per litre Milles run during year Estimated life of vehicle 100000 miles Charges Interest at 10% p.a. on the cost of vehicle. The vehicle runs 20 miles per hour on an
8. Q4 From the following data relating to Vehicle N, Calculate the cost per running kilometre Cost of vehicle 25000 | Cost of fuel per litre Road of license — annual Kilometres run per litre Estimated life of vehicle 100000 kms. Charge interest at 5% p.a. on cost of vehicle. The vehicle runs 20kms. Per hour on an average. (15Marks)
9. Q5 A)What are the advantages and limitations of Activity Based costing? 8 marks
   • B) Explain Inter firm comparison and its features 7
10. Q5 Write short notes (Any Three) 15 marks
    • b) Waste & scrap
    • c) Operating Costing

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