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MCQs

Total Questions : 56 | Page 6 of 6 pages
Question 51. The cost of particular cost object which cannot be traced in economically plausible way is termed as
  1.    indirect cost
  2.    partial cost
  3.    benchmark cost
  4.    direct cost
 Discuss Question
Answer: Option A. -> indirect cost
Answer: (a).indirect cost
Question 52. The difference between final sales value and separable costs is equal to
  1.    net income
  2.    net realizable value
  3.    Gross margin
  4.    Gross realizable value
 Discuss Question
Answer: Option B. -> net realizable value
Answer: (b).net realizable value
Question 53. As compared to sale value of main products, the by-products have
  1.    low sale value
  2.    high sale value
  3.    unstable sale value
  4.    relevant sale value
 Discuss Question
Answer: Option A. -> low sale value
Answer: (a).low sale value
Question 54. If the final sales are $50000 and the separable costs are $35000, then the net realizable value will be
  1.    $15,000
  2.    $85,000
  3.    $35,000
  4.    $50,000
 Discuss Question
Answer: Option A. -> $15,000
Answer: (a).$15,000
Question 55. The manufacturing, distribution and marketing costs incur after split off point is classified under
  1.    separable costs
  2.    joint costs
  3.    main costs
  4.    split off costs
 Discuss Question
Answer: Option A. -> separable costs
Answer: (a).separable costs
Question 56. The joint cost allocation method, in which individual product from joint products must gain a gross margin percentage is classified as
  1.    sales value at split off method
  2.    joint products value at split off method
  3.    constant gross margin percentage NRV method
  4.    Gross realizable value method
 Discuss Question
Answer: Option C. -> constant gross margin percentage NRV method
Answer: (c).constant gross margin percentage NRV method

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