Cost Accounting

1Batch costing is used where

2Charging a whole overhead item to the single cost centre that caused it is

3Selling price GH¢20, variable cost GH¢12, fixed costs GH¢16,000. Break-even units are

4Opening stock 100 units at GH¢5; purchases 200 units at GH¢6; 150 units issued. Using FIFO, the cost of issues is

5Annual usage 2,400 units, ordering cost GH¢30, holding cost GH¢4 per unit per year. EOQ is

6Direct labour is

7A cost that stays the same in total but falls per unit as output rises is

8Fixed costs are GH¢20,000 and the contribution-to-sales ratio is 40%. What sales revenue is needed to break even?

9Period costs are

10Reorder level = maximum usage ×

11A product sells for GH¢20 and has a variable cost of GH¢12 per unit. Its contribution/sales ratio is

12Margin of safety is

13A firm sells 5,000 units at GH¢20 each; variable cost is GH¢12 per unit and fixed costs are GH¢25,000. Its margin of safety in units is

14In process costing, a loss expected under normal conditions is

15A cost that has already been incurred and cannot be recovered is a

16Budgeted overheads are GH₵ 40,000 and budgeted machine hours are 8,000. Find the overhead absorption rate.

17The document used to request materials from the store for production is the

18The document used to request materials from the store is the

19Labour turnover refers to

20The costing method used by a building contractor for large, long-term projects is