(A) Production is greater than defined capacity
(B) Actual overhead costs are less than budgeted overhead
(C) Budgeted capacity is less than normal capacity
(D) Actual overhead incurred is less than applied Overhead
Tag: Financial Accounting Mcqs
The Inventory Turnover ratio is 5 times and numbers of days in a year is 365.Inventory holding period in days would be:
(A) 100 days
(B) 73 days
(C) 50 days
(D) 10 days
The main difference between the profit center and investment center is:
(A) Decision making
(B) Revenue generation
(C) Cost incurrence
(D) Investment
When prices are rising over time, which of the following inventory costing methods will result in the lowest gross margin/profits?
(A) FIFO
(B) LIFO
(C) Weighted Average
(D) Cannot be determined
Under Periodic Inventory system Purchase of inventory is treated as:
(A) Assets
(B) Expense
(C) Income
(D) Liability
Which of the following is/are reported in production cost report?
(A) The costs charged to the department
(B) How the costs were assigned to the output?
(C) The equivalent units of production by the department
(D) All of the given options
Which of the following is / are time based incentive wage plan?
(A) Hasley Premium Plan
(B) Hasley Weir Premium Plan
(C) Rowan Premium Plan
(D) All of the given options
Generally, the danger level of stock is fixed __ the minimum level?
(A) Below
(B) Above
(C) Equal
(D) Danger level has no relation to minimum level