M.Com. (Semester (CBCS) Examination Nov/Dec-2018
ADVANCED COSTING (Paper II)
Time: 2½ Hours Max. Marks: 70
Instructions: All questions are compulsory.
Figures to the right indicate full marks.
Use of Calculator is allowed.
Q.1 Choose the alternatives given below. 14
Time study and motion study are two important aspects of study.
hard works
cost slow
Halsey premium plan is also called sharing plan.
40-60 50-50
20-80 60-40
may be defined as engagement and losses in the labor force.
Placement Material turnover
Labor turnover In-out ratio
workers are workers who work at their own premises by their own
tools at their own convenience.
Casual Out
Permanent Local
plan recommends bonus equal to of time saved to time allowed.
Halsey Halsey weir
Rowan Barth sharing
Factory oncost is also called as works
Cost Overheads
Costing Percentage
If profit is 20% on sales, then it is on cost.
25 33.33
50 16.67
A cost is used to express the cost of product or service.
unit centre
sheet control
If time allowed to produce 1 unit is 30 seconds, then the time to be allowed for
1200 units is hours.
8 9
10 12
10) If standard time is 10 hours and actual time is 8 hours, rate per hour is Rs. 12,
then worker will earn Rs. under Halsey plan.
96 115.20
120 108
11) If standard time is 10 hours and actual time is 8 hours, rate per hour is Rs. 12,
then worker will earn Rs. under Rowan plan.
96 115.20
120 108
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12) If opening stock of finished goods is 200 units and closing stock is 100 units,
production during the period is 2000 units, then sale is of units.
1900 2100
1800 2300
13) In piece rate plan, there are only two piece rates, namely high and
low piece rates.
Straight Merricks
Emersons Taylors
14) is difference between time for which workers are paid and actual
time spent by them on production.
Overtime Standard time
Idle time Normal time
Q.2 Write short note on. 14
Causal worker and out worker
Idle time and overtime
Q.3 Calculate earnings of each worker per day using.
1. Straight piece rate
2. Merricks multiple piece rate
07
Standard time to produce 10 units 2 hours
Rate per hours Rs 20
During a day of 8 hours x produced 30 units and Y produced 50 units
Journalize the following transactions as per integrated accounts. 07
Material purchased Rs. 25,000 on credit
Direct material issued to production Dept. Rs. 21,000
Indirect material issued to production dept Rs. 4,000
Wages incurred Rs. 15,000
Direct wages allocated Rs. 12,000
Indirect wages allocated Rs. 3000
Payment to creditors Rs. 25,000
Q.4 Particulars Worker A Worker B
Time allowed per 100 units 1 hour 48 minutes 3 hours 30 minutes
Rate per hour Rs. 20 Rs. 30
Actual production in 45 hour week 3000 units 1600
Units rejected 100 50
14
By using Halsey premium plan and Rowan premium plan, you are require to
compute
Earning per week of each worker
Labor cost per good unit produced in each case
OR
What do you understand by labour turnover? Enumerate the causes of such
labour turnover and also indicate methods of measuring labour turnover.
14
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Q.5 Prepare cost sheet for the month of March 2018, from the following particulars. 14
Materials Consumed Rs. 90,000
Direct labour Rs. 70,000
Chargeable expenses Rs. 40,000
Works overheads 50% of direct wages
Administrative overheads Rs. 5 per unit produced
Selling overheads Rs. 2 per unit sold
Stock of finished goods on 01.03.2018 200 units Rs. 50 per unit
Stock of finished goods on 31.03.2018 400 units
Sales 4800 units
Profit 20% on sales
OR
Why is the Reconciliation of Cost and Financial Accounts necessary? State
possible reasons of difference between profits shown by both the account.