EThames Degree College

External Question Bank

Course: B.COM III YEAR – Semester: V
SAM&GENERAL
Subject: COST ACCOUNTING Faculty Name: A.VANI

Unit-1
Long Answer Type Questions

1.Define cost accounting and explain its objectives and features .

2.Discuss the limitations of Financial Accounting . Differentiate between Cost Accounting and Financial
Accounting.

3.Discuss the essentials of a good Cost Accounting system .

4. Explain the classification of costs on various basis.

5.Discuss the advantages and limitations of Cost Accounting

6.Discuss various methods of costing

Short Answer Type Questions

1.Fixed cost and Variable cost

2.direct cost and indirect cost

3.cost unit and cost centre

4.costing and cost accounting

5.Elements of cost

Unit-2

Long Answer Type Questions

THEORY QUESTIONS

1.What are the objectives of material or inventory control .Explain its essential requirements.

2.Discuss the steps involved in purchase of materials in an organization.

3.Objectives of good store keeping

4.Discuss various techniques of inventory control (ABC Analysis , VED Analysis ,FNSD Analysis , JIT
Approach)

NUMERICALS

1.Problems on stores ledger – FIFO ,LIFO method - Refer to page no.2.28 – illustration no.2.10 from the book –
COST ACCOUNTING by M.N. Arora

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2. Problems on stores ledger – FIFO ,LIFO method - Refer to page no.2.38 – illustration no. 2.7 and 2.8

3. Problems on stores ledger – Weighted average method and base stock method - Refer to page no.2.42 –
illustration no. 2.10

4. Problems on stores ledger – Simple and weighted average method - - Refer to page no.2.47 – problem no. 2.12,
2.13 , 2.15

5.short problems on stock levels – Refer to page no.2.8 and 2.9 – illustration 2.2 and 2.3

Short Answer Type Questions

1.Bin card

2.Economic order quantity

3.Stock levels

4.stores ledger

5.Short problems on EOQ-Refer to page no. 2.10 and 2.11 –illustration 2.4 and 2.5 from the book – COST
ACCOUNTING by M.N. Arora

Unit-3
Long Answer Type Questions

NUMERICALS

LABOUR

1.Problems on Halsey and Rowan incentive plans - – Refer to page no.3.17 - problem no.3.7 , 3.8and 3.10 from
the book – COST ACCOUNTING by M.N. Arora

2.Problems on Taylor’s differential piece rate system and Merrick’s multiple piece rate system - – Refer to page
no.3.26 - problem no.3.20 , 3.21 from the book – COST ACCOUNTING by M.N. Arora

OVERHEADS

1.Problems on Overhead distribution summary - – Refer to page no.4.32 - problem no.4.1 , 4.2 and 4.3 from the
book – COST ACCOUNTING by M.N. Arora

2.Problems on Machine hour rate - Refer to page no.4.41 - problem no.4.10 , 4.11,4.12 and 4.13 from the book –
COST ACCOUNTING by M.N. Arora

Short Answer Type Questions

1.Normal idle time

2.Abnormal idle time

3.Overtime

4.labour turnover

5.Direct labour and indirect labour

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 Unit-4
Long Answer Type Questions

UNIT OR OUTPUT COSTING

NUMERICALS

1.Problems on preparation of cost sheet - Refer to page no.5.11 - problem no.5.3, 5.4, 5.5, 5.7 from the book –
COST ACCOUNTING by M.N. Arora

2. Problems on preparation of tender or estimated cost sheet - Refer to page no 5.20 – problem no.5.11,

Page no.5.25 – problem no.5.15 , Page no.5.29 – problem no.5.18

JOB COSTING

THEORY QUESTIONS – essay type

1.What are the objectives of job costing ? Explain the job costing procedure.

NUMERICALS

1.Problems on preparation of job costsheet – Refer to page no.6.4 – problem no. 6.2 ,6.3 ,6.4

Unit-5

Long Answer Type Questions

CONTRACT COSTING

NUMERICALS

1.Problems on contract account preparation – page no.7.7 – problem no.7.1 ,7.2,7.4 ,7.6 ,7.8

2.problems on calculation of profit to be considered – refer to page no.7.11 – problem no.7.5 , page no.7.20
,problem no.7.13 ,7.14

PROCESS COSTING

NUMERICALS

1.Problems on preparation of process account – Page no.8.3 –illustration 8.1 ,8.2 , 8.3,8.4,8.5 ,

Page no.8.13 , problem no.8.3 , 8.4 ,8.5

Short Answer Type Questions

CONTRACT COSTING

1.work-in-progress

2.Retention money

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3.escalation clause

4.cost-plus contracts

5.Notional profit

6.Features of contract costing

PROCESS COSTING

1.Differences between process costing and job costing

2.normal process loss

3.abnormal process loss

4.abnormal gain

**** All the Best****

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