U.G. DEGREE EXAMINATION, NOVEMBER 2017
Computer Application
Allied COST AND MANAGEMENT ACCOUNTING
(CBCS 2011 onwards)
Time 3 Hours Maximum 60 Marks
Section A (10 X 1.5 15)
Answer all questions.
1. What is a cost sheet?
2. Give example for office overheads.
3. What is Re-order level?
4. Define Material control.
5. What is time rate system?
6. What do you mean by ordinary time wage?
7. What is margin of safety?
8. What is P/V ratio?
9. Write short notes on Zero Base Budget.
10. What is fixed overhead?
Sub. Code
1BCASA4
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Section B X 3 15)
Answer all questions, choosing either or
11. What are the objectives of costing?
Or
Total cost of sales amounted to Rs. 9,000. The
company earns a profit of 10% on sales. Calculate
the amount of sales.
12. What are the various types of stock level?
Or
Find out EOQ from the following
Annual usage 6,000 units, cost of material per unit
Rs. 20, cost of placing and receiving one order
Rs. 60, annual carrying cost of one unit 10% of
inventory.
13. What are the principal system of wage payment?
Or
Calculate the earnings of a worker under Halsey
Premium Plan.
Time allowed 60 hours
Time taken 50 ours
Rate per hour Rs. 10.
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14. Explain the Marginal cost Equation.
Or
Direct Material Rs. 1,00,000
Direct Wages Rs. 80,000
Fixed Overheads Rs. 30,000
Variable Overheads Rs. 40,000
Sales Rs. 2,70,000
Prepare a marginal cost statement.
15. Explain different types of budget.
Or
Prepare a production budget for three months
ending 30.12.2013 for a factory producing four
products on the basis of the following information.
Types of
product
Estimated
stock on
1.10.2013
Units
Estimated sales
October-
December
Units
Desired closing
stock on
31.12.2013
Units
A 2,000 10,000 3,000
B 3,000 15,000 5,000
C 4,000 13,000 3,000
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Section C 10 30)
Answer any three questions.
16. The costing data of Zen Ltd., show the following
Materials used Rs. 14,00,000
Direct wages Rs. 10,80,000
Factory overhead Rs. 3,24,000
Establishment and General Expenses Rs. 2,24,320
Prepare a statement showing
Factory cost
Total cost
Percentage of factory overhead that bears to the
direct wages.
Percentage of Establishment and General Expenses
is related to factory cost.
17. Show the Stores Ledger entries as they would appear
when using the LIFO method of pricing of material issues
for the following transactions.
Date Transaction Units Price

April 1 Balance in hand b/f 300 2.00
April 2 Purchased 200 2.20
April 4 Issued 150
April 6 Purchased 200 2.30
April 11 Issued 150
April 19 Issued 200
April 22 Purchased 200 2.40
April 27 Issued 150
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18. A worker takes 9 hours to complete a job on daily wages
and 6 hours on a scheme of payment by results. His day
rate is 25 paise an hour, the material cost the product is
Rs. 4 and the overhead are recovered at 150% of the total
direct wages. Calculate the factory cost of the production
under the
Piece work plan,
Halsey plan and
Rowan plan.
19. From the following data find out
Breakeven Point,
P/V Ratio,
Margin of Safety ratio.
Variable cost Rs. 60,000, Fixed cost Rs. 30,000.
Sales Rs. 1,00,000.
20. From the information given below, prepare a flexible
budget at 60% and 80% capacities.
75%
Rs.
Variable overheads
Indirect Materials 7,500
Indirect Labour 22,500
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75%
Rs.
Semi-variable overheads
Electricity fixed) 37,500
Repairs fixed) 3,750
Fixed overheads
Salaries 1,00,000
Insurance 5,000
Depreciation 25,000
2,01,250