1. The following information is available for the W hotel for the latest thirty day period.
Number of rooms available per night 40
Percentage occupancy achieved 65%
Room servicing cost incurred Rs. 3900
The room servicing cost per occupied room-night last period, to the nearest Rs, was:
a) Rs 3.25
b) Rs 5.00
c) Rs 97.50
d) Rs 150.00
2. After inviting tenders for supply of raw materials, two quotations are received as follows Supplier P Rs. 2.20 per unit, Supplier Q Rs. 2.10 per unit plus Rs. 2,000 fixed charges irrespective of the
units ordered. The order quantity for which the purchase price per unit will be the same
a) 22,000 units
b) 20,000 units
c) 21,000 units
d) None of the above.
3. Statutory cost audit are applicable only to:
a) Firm
b) Company
c) Individual
d) Society
4. The summarized balance sheet of Autolight Limited shows the balances of previous and current year
of retained earnings Rs. 25,000 and Rs. 35,000. If dividend paid during the current year amounted to Rs.
5,000 then profit earned during the year will be:
a) Rs. 5,000
b) Rs. 55,000
c) Rs. 15,000
d) Rs. 65,000
5. When the sales increase from Rs. 40,000 to Rs. 60,000 and profit increases by Rs. 5,000, the P/V ratio
is ______________
a) 20%
b) 30%
c) 25%
d) 40%.
6. A profit centre is a centre
a) Where the manager has the responsibility of generating and maximising profits
b) Which is concerned with earning an adequate Return on Investment
c) Both of the above
d) Which manages cost
7. Sunk costs are:
a) relevant for decision making
b) Not relevant for decision making
c) cost to be incurred in future
d) future costs
8. Calculate value of closing stock from the following:
Opening stock of finished goods (500 units) : Rs. 2,000
Cost of production (10000 units) : Rs. 50,000 Closing stock (1000 units):?
a) Rs. 4,000
b) Rs. 4,500
c) Rs. 5,000
d) Rs. 6,000
9. Economic order quantity is that quantity at which cost of holding and carrying inventory is:
a) Maximum and equal
b) Minimum and equal
c) It can be maximum or minimum depending upon case to case.
d) Minimum and unequal
10. Calculate Re-order level from the following:
Consumption per week: 100-200 units
Delivery period: 14-28 days
a) 5600 units
b) 800 units
c) 1400 units
d) 200 units