Cost accounting model question paper NEP Bangalore North University

 Section A

Answer any Five Questions. Each question carries two marks.

1.                                                             (2 X 5=10)

a. Give the meaning of Cost object.

b. What are controllable costs?

c. State the classification of materials.

d. What is idle capacity?

e. Define the term overhead.

f. What is cost allocation

                            Section B

Answer any three questions. Each question carries four marks.                              (3X4-12)

2. The following information is given in the books of a company.

production and sales - 4,000 units

Particular expenses for 4000 units.

Material cost Rs. 12 per unit

Direct labour Rs. 10 per unit

Selling price Rs. 35 per unit

The overhead charges are as follows:

Fixed - Rs. 6,000

Variable - Rs. 3,600

Semi-variable Rs. 2,400 of which 60% is fixed.

Calculate the profit per unit.

3. From the following particulars, calculate the Economic order quantity.

Annual requirement 1,600 units

Cost of material per unit Rs. 50

Cost of placing and receiving one order S. 40

Annual carrying cost of inventory 10% of the inventory value.

Also, find out the number of orders to be placed in a year.

4. Briefly explain the various methods of        time keeping.

5. Calculate the Machine Hour Rate from the following data:

Cost of machine - Rs. 1,00,000

Installation charges - Rs. 10,000

Estimated scrap value after the expiry of its life of 15 years - rs.5,000

Rent and rates for the shop p.m. - Rs. 200

General lighting for the shop p.m. - Rs. 300

Insurance premium for the machine p.a. - Rs. 900

Power consumption (10 units per hour)

Rate of power per 100 units - 20

Shop supervisor's salary p.m. - 600

Estimated working hours p.a. - 2,200 (this includes setting uptime of 200 hours). The machine occupies 1/4th of the total area of the shop. The supervisory is expected to denote % of his Time For supervising the machine.

6. From the following prepare a Reconciliation statement, calculate profits as per financial accounts -

6. From the following prepare a Reconciliation statement, calculate profits as per financial accounts