(A) Cost of goods sold / number of units sold
(B) Cost of goods to be manufactured/ number of units manufactured
(C) Cost of goods manufactured / number of units manufactured
(D) Total manufacturing cost / number of units manufactured
Tag: Financial Accounting Mcqs
In increasing production volume situation, the behavior of Fixed cost & Variable cost will be:
(A) Increases, constant
(B) Constant, increases
(C) Increases, decreases
(D) Decreases, increases
The total labor cost incurred by a manufacturing entity includes which one of the following elements:
(A) Direct labor cost
(B) Indirect labor cost
(C) Abnormal labor cost
(D) All of the given options
A cost that remains unchanged across the relevant range of units produced is what kind of cost?
(A) Fixed cost
(B) Product cost
(C) Mixed cost
(D) Period cost
_____ is a part of cost of production report that explains the cost incurred during the process?
(A) Quantity schedule
(B) Cost accounted for as follow
(C) Cost charged to the department
(D) None of the given options
Opening work in process inventory can be calculated under which of the following method?
(A) FIFO and Average costing
(B) LIFO and Average costing
(C) FIFO and LIFO costing
(D) None of given options
The contribution margin increases when sales volume and price remain the same and:
(A) Variable cost per unit decreases
(B) Variable cost per unit increases
(C) Fixed costs per unit increase
(D) All of the given options
Which of the following is a factor that should be taken into account for fixing re-order level?
(A) Average consumption
(B) Economic Order Quantity
(C) Emergency lead time
(D) Danger level