Inventory Costing Methods Multiple Choice Questions (MCQ) PDF - 184

MCQ 916: The difference between master budget capacity and practical capacity is considered as

1. normal used capacity
2. unplanned and unused capacity
3. planned unused capacity
4. unplanned used capacity

MCQ 917: If the difference in costs is $32000 and the slope coefficient is 0.40, then difference in machine hours would be

1. $80,000
2. $12,800
3. $70,000
4. $22,800

MCQ 918: The what-if technique, which examines changes in results, if original prediction would not be achieved is called

1. change analysis
2. original analysis
3. sensitivity analysis
4. predicted analysis

MCQ 919: Considering two fiscal years 2013 and 2014, an input price in 2013 and 2014 are $9 and $11 per unit respectively and input required units in 2013 to produce output in 2014 are 30000 units, then cost effect of price recovery will be

1. $60,000
2. $6,000
3. $65,000
4. $6,500

MCQ 920: In the budget hierarchy, the material handling cost is

1. fixed manufacturing cost
2. batch level cost
3. per unit cost
4. factory overall cost