Normal Costings MCQ (Multiple Choice Questions) PDF Download

If the budgeted annual indirect cost is $60000, budgeted annual quantity of cost allocation base is $3600, then budgeted indirect cost rate will be

1. 15.67 per piece
2. 16.67 per piece
3. 14.67 per piece
4. 13.67 per piece

The manufacturing overhead cost allocated to individual jobs is classified as

1. manufacturing overhead allocated
2. cost overhead applied
3. manufacturing overhead applied
4. both A and C

If the budgeted annual indirect cost is $85000 and budgeted annual quantity of cost allocation base is $7500, then budgeted indirect cost rate would be

1. 112.34 per piece
2. 113.34 per piece
3. 111.34 per piece
4. 110.34 per piece

In normal costing, the manufacturing overhead allocated is also called

1. manufacturing overhead applied
2. labor overhead applied
3. cost overhead applied
4. budget overhead applied

If the budgeted indirect cost arte is $115 and the budgeted cost allocation base is $830 per hour, then the annual indirect cost (budgeted) will be

1. $93,450
2. $94,560
3. $96,450
4. $95,450