Question 1: What do you mean by the term single costing? In what industries is it employed?
Question 2: Explain the role of the cost accountant in finding out the quotation price for a tender.
Question 3: Define the objects of the cost sheet. Give a specimen of cost sheet pointing out clearly the headings and significant items supplying imaginary figures.
Question 4: Write brief notes on:
a) Tender price
b) Work-in-progress
c) Production Account.
Question 5: The cost structure of an article the selling price of which is Rs. 45,000 is as shown below:
Direct Materials 50%
Direct Labor 20%
Overheads 30%
A raise of 15% in the cost of materials and 25% in the cost of labor is anticipated. These raised costs in relation to the present selling price would cause a 25% decrease in the amount of present profit per article. Prepare:
a) A statement of profit per article at present.
b) The revised selling price to produce the similar percentage of profit to sales as before.