Inventory Costing Methods MCQ (Multiple Choice Questions) PDF - 82

MCQ 406: An actual quantity of input use is multiplied to actual prices, to calculate direct variable manufacturing cost in

1. actual costing method
2. normal costing method
3. direct costing method
4. indirect costing method

MCQ 407: The dimensional analysis of cost includes

1. horizontally across dimension
2. horizontally upward dimension
3. vertically upward dimension
4. both a and c

MCQ 408: In two of the methods of costing, the operating income will be different if the

1. fixed cost does not change
2. inventory changes
3. inventory does not change
4. fixed cost changes

MCQ 409: An example of rework is

1. short lengths from wood work
2. defective aluminum cans recycled by manufacturer
3. detection of defective pieces before shipment
4. none of above

MCQ 410: The prime cost is $50000 and the direct manufacturing labor is $10000, then the direct material cost will be

1. $40,000
2. $60,000
3. $52,000
4. $20,000