Maharshi Dayanand Saraswati University (MDSU) 2006 B.Com Cost Accounting : -II - Question Paper

M.D.S. UNIVERSITY AJMER
B.COM. (HONS.) (PART1) EXAMINATION, 2006
(Three-year scheme)
(abst)
(Honours-paper)
Cost Accounting : paper-II
Time allowed : 3 hours
Max. marks : 100
Selecting at lowest 1 ques. from every Unit, attempt any 5 ques.. All ques. carry equal marks.

Unit-I

1. (a) What are elements of cost ? Illustrate the various component of cost. 4+12
specify the methods of costing and cost units applicable to the subsequent industries :
(i) Coal mines
(ii) Hospital
(iii) Toy making
(iv) Oil refinery 4

2. (a) record the subsequent transaction in the Store
Ledger Account of X Ltd. :
15.01.2005 receipt 250 units costing Rs. 312.50
21.02.2005 receipt 100 units costing Rs. 130.00
24.03.2005 receipt 50 units costing Rs. 67.50
05.04.205 problem 55 units
19.04.2005 Receipt 50 units costing Rs. 70.00
25.04.2005 problem 300 units
03.05.2005 problem 40 units

The problems on 05.04.2005 and 25.04.2005 were priced at LIFO and FIFO basis respectively, as from 01.05.2005 it was decided to price the problem at avg. price. 16
(b) Standard time is 30 hours. The hourly rate of guaranteed wage is Rs. 40. because of time saved, a worker Mr. Mahendra gets an effective hourly of Rs. 57.50 under Rowan Premium Plan. For the identical saving in time, compute the effective hourly rate of wages for a worker Mr. Surendra under Halsey Plan. 4

Unit-II
3. (a) In a factory, works overhead are charged on
fixed percentage basis on wages and office and administration overhead are computed on the basis of percentage of works cost.
The subsequent info is supplied to you :
Work order Work order
No. 505 No. 605
(Rs.) (Rs.)
material consumed 12,500 18,000

Productive wages 10,000 14,000

Selling price 44,850 61,880

Profit on cost 15% 12%

Find out the percentage of works overhead and office and administration overheads. Also prepare statement of cost for the 2 work orders. 16

(b) The works cost of a certain article is Rs. 8,000 and the selling price is Rs. 16,000. the subsequent direct (variable) selling and distribution expenses were incurred :

Freight and cartage Rs. 800
Insurance Rs. 200
Commission Rs. 1,200
Packing expenses Rs. 200

The estimated fixed selling and distribution expenses for the year were Rs. 60,000 and estimated value of sales for the year was Rs. 3,00,000. you are needed to ascertain the final cost of the article using the method of percentage on sales value to absorb fixed selling and distribution expenses. Also obtain out the estimated profit for the
year. 4
4. (a) Explain the various methods of absorption of factory overheads.
Give merits and demerits of every method. 16
Differentiate ranging from ‘Absolute Tonne km’s and Commercial
Tonne km’s. discuss and illustrate. 4

Earning:   Approval pending.