OCTOBER 2011 U/ID 1891/PZR

Time : Three hours Maximum : 100 marks

SECTION A — (5 × 8 = 40 marks)

Answer any FIVE questions.

All questions carry equal marks.

1. Explain briefly the different ways of classifying cost.

AhUPzøu £À÷ÁÖ ÁÈPÎÀ ÁøP¨£kzv _¸UP©õP ÂÍUSP.

2. What are the differences between job costing and contract

costing?
£o Bøn AhUPÂø» •øÓUS® ©ØÖ® J¨£¢u AhUPÂø»
•øÓUS® EÒÍ ÷ÁÖ£õkPÒ ¯õøÁ?

3. From the following information calculate Reorder level,

minimum stock level and maximum stock level :
Reorder Quantity – 3,600 units
Maximum Consumption – 900 units per day
Minimum Consumption – 300 units per day
Normal Consumption – 600 units per day
Reorder period – 3 to 5 days
RÌUPõq® £µ[Pμ¸¢x ©Ö Bøn AÍÄ, SøÓ¢u£m\
\µUQ¸¨¦ AÍÄ, AvP£m\ \µUQ¸¨¦ AÍÄ BQ¯ÁØøÓU
PnUQkP.
©Ö Bøn AÍÄ – 3,600 A»SPÒ
AvP£m\ ~PºÄ – |õÒ JßÖUS 900 A»SPÒ
SøÓ¢u£m\ ~PºÄ – |õÒ JßÖUS 300 A»SPÒ
\õuõµn ~PºÄ – |õÒ JßÖUS 600 A»SPÒ
©Ö BønUPõ»® – 3 – 5 |õmPÒ

4. From the following data, compute the overhead to be charged on

the basis of direct labour rate to job No. 108 and determine the
total cost.
Direct Materials used – Rs. 2,100
Direct Wages – Rs. 2,800
 Direct Labour hours – 700 hours
Estimated factory overheads
for the year – Rs. 1,05,000
Estimated labour hours for
the year – 2,10,000 hours.
¤ßÁ¸® £µ[Pμ¸¢x ÷Áø» Gs 108–US ÷|µi EøǨ¦
©o ÃuzvÀ Ai¨£øh°À ÂvUP¨£h ÷Ási¯ ÷©Øö\»ÂøÚU
PnUQmk AhUPÂø»ø¯ wº©õÛUPÄ®.
E£÷¯õP¨£kzu¨£mh Pa\õ¨ö£õ¸Ò – ¹. 2,100
÷|µiU T¼ – ¹. 2,800
÷|µi EøǨ¦ ©oPÒ – 700 ©oPÒ
BsiØS ©v¨¤h¨£mh Bø» ÷©Øö\»Ä – ¹. 1,05,000
BsiØS ©v¨¤h¨£mh EøǨ¦ ©oPÒ – 2,10,000 ©oPÒ

5. The profit as per cost accounting Rs. 40,000. While comparing

with the financial accounts, the following differences were found:
Rs.
(a) Overheads as per cost accounts 8,000
Overheads as per financial accounts 6,000
(b) Director’s fees not charged in cost 750
(c) The company created doubtful debts 600
(d) Depreciation not shown in cost accounts 600
(e) Transfer fees received 100
(f) The amount charged as Income Tax 5,000

Prepare a reconciliation statement.

AhUPÂø» Hmiß »õ£® ¹. 40,000 {vUPnUQß HmiÀ Cøu
J¨¦ ÷|õUS® ÷£õx RÌUPsh Âzv¯õ\[PÒ Põn¨£mhÚ.
¹.
(A) AhUPÂø» PnUQÀ GÊu¨£mh ÷©Øö\»ÄPÒ 8,000
{v°¯À PnUQߣi ÷©Øö\»ÄPÒ 6,000
(B) AhUPÂø» PnUQÀ GÊu¨£hõu C¯US|º 750
Fv¯®
(C) {Ö©® JxUQ¯ I¯UPhß Põ¨¦ 600
2 U/ID 1891/PZR
 ¹.
(D) AhUPÂø» PnUQÀ GÊu¨£hõu ÷u´©õÚ® 600
(E) ©õØÖU Pmhn® ö£ØÓx 100
(F) Á¸©õÚ Á›¯õP GÊu¨£mhx 5,000

\›Pmk¨ £mi¯À u¯õ›UPÄ®.

6. From the following particulars, prepare labour cost per man day
of 8 hours.
(a) Basic salary – Rs. 3 per day
(b) Dearness Allowance – 0.25 paise for every point over 100
cost of living index for working class. Current month cost of
living is 700 points.
(c) Leave Salary 10% of (a) and (b)
(d) Employer’s contribution to PF 8% of (a), (b) and (c).
(e) Employer’s contribution to E.S.I. 2.5% of (a), (b) and (c).
(f) Expenditure on amenities to labour Rs. 20 per head per
month.
(g) Number of working days in a month 25 days of 8 hours
each.
RÌUPõq® £µ[Pμ¸¢x 8 ©o ÷|µ® öPõsh J¸ |õÐUPõÚ
T¼ GÆÁÍÄ GÚU PnUQkP?
(A) Ai¨£øh \®£Í® |õÒ JßÖUS ¹. 3
(B) APÂø»¨£i : ÁõÌUøPa ö\»Ä AmhÁøn°ß
100 ¦ÒÎPÐUS ÷©÷» EÒÍ JÆöÁõ¸ ¦ÒÎUS®
0.25 ø£\õ BS®. |h¨¦ ÁõÌUøPa ö\»Ä AmhÁøn¨£i
©õu® 700 ¦ÒÎPÒ.
(C) Âk¨¦ \®£Í® – ÷©Ø£i (A) ©ØÖ® (B) ÂÀ 10%.
(D) ÷\©|»{vUS •u»õ롧 AΨ¦ – ÷©Ø£i (A) (B) ©ØÖ®
(C) À 8%.
(E) öuõÈ»õͺ ©õ{» DmkÖv •u»õ롧 AΨ¦ – ÷©Ø£i
(A), (B) ©ØÖ® (C) –À 2.5%.
(F) öuõÈ»õͺ |» ö\»Ä – J¸ ©õuzvØS J¸ öuõÈ»õÎUS
¹. 20.
(G) J¸ ©õuzvÀ £o |õmPÒ – 8 ©o ÷|µ® öPõsh 25 |õmPÒ.
3 U/ID 1891/PZR
7. From the following particulars, calculate machine hour rate :
Cost of machine – Rs. 16,000
Estimated scrap value – Rs. 1,000
Effective working life – 10,000 hours
Running hours for a 4 weekly period – 160 hours
Average repairs and maintenance for a 4 weekly period – Rs. 120
Average standing charges for a 4 weekly period – Rs. 40.
Power 4 units per hour at a cost of 25 paise per hour.
RÌUPõq® £µ[PÎÀ C¸¢x C¯¢vµ ©o Ãuzøu PnUQkP :
C¯¢vµzvß AhUPÂø» – ¹. 16,000
GÔ©v¨¦ – ¹. 1,000
C¯¢vµzvß ^›¯ B²mPõ»® – 10,000 ©oPÒ
4 Áõµ[PÒ öPõsh Põ»zvÀ Kmh ©oPÒ – 160 ©oPÒ
4 Áõµ[PÒ öPõsh Põ»zvØPõÚ \µõ\› £Êx£õºzuÀ ö\»Ä –
¹. 120
4 Áõµ[PÒ öPõsh Põ»zvØS \µõ\› {ø»aö\»ÄPÒ – ¹. 40
ªßvÓß J¸ ©o ÷|µzvØS 4 A»SPÒ J¸ ©oUS 25 ø£\õ.

8. From the following data, you are required to calculate :

(a) P.V. Ratio
(b) B.E.P.
(c) Margin of safety
(d) Sales to earn a profit of Rs. 90,000
Sales – Rs. 2,25,000
Variable costs – Rs. 1,12,500
Fixed cost – Rs. 67,500
¤ßÁ¸® ÂÁµ[Pμ¸¢x
(A) C»õ£ AÍÄ ÂQu®
(B) C»õ£ |mh©ØÓ {ø»¨¦ÒÎ
(C) £õxPõ¨¦ GÀø»
(D) ¹. 90,000 »õ£® Dmh ö\´¯ ÷Ási¯ ÂØ£øÚ BQ¯ÁØøÓ
PnUQkP.

4 U/ID 1891/PZR
 ÂØ£øÚ – ¹. 2,25,000
©õÖ£k® ö\»ÄPÒ – ¹. 1,12,500
{ø»¯õÚ ö\»ÄPÒ – ¹. 67,500.

SECTION B — (3 × 20 = 60 marks)

Answer any THREE questions.

All questions carry equal marks.

9. Differentiate between cost accounting and management

accounting.
AhUPÂø»U PnUQ¯ø»²® ©ØÖ® ÷©»õsø©U PnUQ¯ø»²®
÷ÁÖ£kzxP.

10. From the following particulars prepare a cost sheet.

Rs.
Stock of raw materials on 1.1.2009 10,000
Stock of finished goods on 1.1.2009 25,500
Purchase of raw materials 2,90,000
Productive wages 1,95,000
Sales 6,06,000
Stock of raw materials on 31.12.2009 12,500
Stock of finished goods on 31.12.2009 24,000
Works overheads 43,000
Office and general overheads 36,000
Selling overheads 20,000

¤ßÁ¸® £µ[Pμ¸¢x AhUPÂø» £mi¯ø»z u¯õ›UPÄ®.

¹.
1.1.2009 AßÖ ‰»¨ö£õ¸Ò C¸¨¦ 10,000
1.1.2009 AßÖ •iÄØÓ \µUQ¸¨¦ 25,500
‰»¨ö£õ¸ÒPÒ öPõÒ•uÀ 2,90,000
EØ£zvU T¼ 1,95,000
ÂØ£øÚ 6,06,000
31.12.2009 AßÖ ‰»¨ö£õ¸Ò C¸¨¦ 12,500
31.12.2009 AßÖ •iÄØÓ \µUQ¸¨¦ 24,000
5 U/ID 1891/PZR
 ¹.
Bø» ÷©Øö\»ÄPÒ 43,000
A¾Á»P ©ØÖ® ö£õxa ö\»ÄPÒ 36,000
ÂØ£øÚ ÷©Øö\»ÄPÒ 20,000

11. A product passes through two processes A and B and then to

finished stock. It is found that each process is having 5% loss of
weight and 10% scrap which is realisable Rs. 80 and Rs. 200 per
tonne respectively. The following particulars relate to two
processes :
A B
Materials (in tonnes) 1000 70
Cost of materials per tonne (Rs.) 125 200
Wages (Rs.) 28,000 10,000
Manufacturing expenses (Rs.) 8,000 5,250
Output in tonnes 830 780

Prepare process accounts.

J¸ ö£õ¸Ò A ©ØÖ® B GßÓ Cµsk £i•øÓPøÍ Ph¢x
•Ê¨ö£õ¸øÍ AøhQÓx. JÆöÁõ¸ £i•øÓ°¾® 5% \µUS
CǨ¦ ©ØÖ® 10% PÈÄPøÍU öPõskÒÍx. PÈÄPøÍ •øÓ÷¯
hß JßÖUS ¹. 80 ©ØÖ® ¹. 200 GÚ ÂØP¨£mhx. RÌUPõq®
£µ[PÒ Cµsk £i•øÓPÐUPõÚx.
A B
‰»¨ö£õ¸mPÒ (hßPÎÀ) 1000 70
‰»¨ö£õ¸mPÒ Âø» (hß JßÖUS) 125 200
T¼ (¹) 28,000 10,000
EØ£zv ö\»Ä (¹.) 8,000 5,250
EØ£zv (hßPÎÀ) 830 780

£i•øÓU PnUSPøÍz u¯õº ö\´P.

12. From the following details, prepare a contract account.

Rs.
Materials sent to site 86,000
Wages paid to labour 75,000
Plant installed at site 15,000
6 U/ID 1891/PZR
 Rs.
Direct expenses 3,200
Establishment expenses 4,300
Material returned to store 500
Work certified 2,00,000
Work uncertified 4,500
Stock of materials at the end 2,500
Wages outstanding at the end 2,100
Direct expenses outstanding at the end 100
Value of plant at the end 10,000
Contract price 3,00,000
Cash received 1,80,000

RÌUPsh ÂÁµ[Pμ¸¢x, J¨£¢uU PnUøPz u¯õº ö\´P.

¹.
PmihzvØS Aݨ¤¯ ‰»¨ö£õ¸mPÒ 86,000
Pmih ÷Áø»¯õÒ T¼ u¢ux 75,000
PmihzvÀ {Ö¯ C¯¢vµ® 15,000
÷|µia ö\»ÄPÒ 3,200
{ÖÁÚa ö\»ÄPÒ 4,300
£shPzvØS v¸¨¤ Aݨ¤¯ 500
‰»¨ö£õ¸mPÒ
\õßÔuÌ ö£ØÓ ÷Áø» 2,00,000
\õßÔuÌ ö£Óõu ÷Áø» 4,500
\µUQ¸¨¦ (CÖv°À) 2,500
÷Áø»¯õÒ T¼ £õUQ (CÖv°À) 2,100
÷|µiUT¼ £õUQ (CÖv°À) 100
C¯¢vµ ©v¨¦ (CÖv°À) 10,000
J¨£¢u Âø» 3,00,000
ö£ØÓ öµõUP® 1,80,000

7 U/ID 1891/PZR
13. The following details are given :
Sales Profit
(Rs.) (Rs.)
2008 10,00,000 2,00,000
2009 15,00,000 4,00,000

Calculate :
(a) P/V ratio
(b) Fixed cost
(c) Break even point
(d) Profit when sales is Rs. 20,00,000
(e) Sales required to make a profit of Rs. 8,00,000.
(f) Margin of safety.
RÌUPõq® ÂÁµ[PÒ uµ¨£mkÒÍÚ :
ÂØ£øÚ C»õ£®
(¹.) (¹.)
2008 10,00,000 2,00,000
2009 15,00,000 4,00,000

PnUQkP :
(A) £[PΨ¦ ÂQu®
(B) {ø»a ö\»ÄPÒ
(C) C»õ£ |mh©ØÓ ¦ÒÎ
(D) ¹. 20,00,000 ÂØ£øÚ°À EÒÍ C»õ£®
(E) ¹. 8,00,000 C»õ£® Dmh ÷uøÁ¯õÚ ÂØ£øÚ
(F) £õxPõ¨¦ ÂØ£øÚ.

——————————

8 U/ID 1891/PZR