A(2nd Sm.).
Cost Accounting IHDSCC2CCF
2024
COST ACCOUNTING-1 HONOURS
Paper : DSCC-2
Full Marks : 75
The figures in the margin indicate full marks.
Candidates are required to give their answers in their own words
as far as practicable.
Group -A
Answer any three questions. 5x3
. stinguish between Cost Centre and Cost Unit.
ACost centre in a factory furnished the following information :
Estimated annual overhead : 3,11,040
Estimated annual effective machine hours : S1840 machine hours
Actual results in respect of a 4 week period are :
Overhead incurred :30,000
Machine hours operated:4400 hours
Calculate the amount of under / over absorption of overhead.
3or appropriate cost unit match the following:
Industry Cost Unit
(a) Cement (1) Cubic metre G
(b) Gas (2) Per bed or Bed day.
(c) Hospital (3) Passenger km. R
(d) Road Transport carrying passengers (4) Units 3
(e) Brick (5) Tonne
4. Classify each of the following costs of the Maintenance Department based on their behaviour and also
find the total cost of that department at 80% capacity.
Cost at 70% Capacity ()
Cost items Cost at 50% Capacity (?)
Repair & Maintenance 16,000 17,600
Consumables 12,000 l6,800
Please Turn 0ver
A(2ndSm.)-Cost Accounting-I-HIDSCC-2/CCF (2)
Prime Cost and
product is estimated at 80,000. Factory overhead is 1/3rd of there is
5. The Works Cost of a the cost of materials for the product assuming that
125% of direct wages. Calculate
chargeable expenses.
Group - B
Answer any three questions.
performed by Aloke and Subal: 10
from the following data, calculate Works Cost of the Jobs
Aloke Subal
Time Allowed (per 100units) 40 Hours 42 Hours
Rate per hour 7 80.00 7 120.00
Actual Time Taken 96 hours 140 hours
Actual Units Produced 300 units 400units
Material Cost for the Job 76,680 7 10,200
Bonus Plan Halsey (50%) Rowan
Factory overhead 150% of wages 100% of wages.
The following transaction took place in respect of a raw material M-101 during the month of January,
2024:
Date Particulars Kgs. Rate per kg. ()
1 Balance 1000 9
Purchased 1500
6
Issued 1900
10
Shortage 100
13
Return from issue dated 10.01.2024 200
19
900 10
21 Purchased
Issued 1000
26
Ledger Account for material M-101 when the policy of the firm is to value unsold
Prepare the Stores 2+8
stock at current price.
(3) |A(2ndSm.)-Cost Accounting-1-HIDSCC-2/CCF
8. Worker Vee is paid wages under piece rate system @? 20 per unit. During a week of 40 hours he
produced 110 units. Standard production is 2 units per hour.
He is allowed an incentive based on efficiency as below:
Efficiency Bonus on piece wage
Up to l100% No bonus
Above 100% and up to 120% 10%
Above 120% Additional 2% of every completed 5%
efficiency over 120%.
Calculate total wages payable to Vee for the week both under Piece Rate and Hourly Rate System. Also
find out Effective Piece Rate and Effective Hourly Rate, if bonus is same under both the systems.
6+4
9. Write short notes on :
(a) Overtime Wages
(b) Sunk Cost
(c) Opportunity Cost. 4+3+3
10. Following information relate to Machine No. 505 of the workshop of Sen & Co. for the year ended
31.03.2024:
Cost of the machine (scrap value 50,000) Life 10 years 4,50,000
Supervisor's salary (supervisor devotes Vth of his time to the machine) Z28,000 p.a
7 12,000 p.m
Rent of shop (Machine occupies 1/3rd of shop area)
machines 1O)) 7 3,000 p.m
Electricity (light points used by machine 505 is 2 andby other
machine) 7 32,000 p.a.
Other factory overhead (th allocated to this
2% of cost
Annual cost of insurance of the machine
4200 hours
Total machine hours available p.a.
lost due to material
Of the total machine hours, 150 machine hours were
maintenance.
shortage and 200 machine hours were lost due to routine
Cost of Power : 2 units per running hour @ ? 500 per 100 units.
10
Compute the Machine Hour Rate for Machine No. 505,
Please Turn Over
4(2nd Sm.)-Cost Acounting-1-HIDSCC-2/CCE (4)
Group -C
Answer any two questions.
From the following particulars prepare aStatement of Cost and Profit for the year ended on 31.03 2004
and ascertain the per unit selling price : 13+2
01.04.2023 31.03.2024
Raw Materials 42,000 7 28,000
WIP 36,800 7 42,000
Finished Goods (at cost of production) ? 2,88,000 ?
(8000 units) (11000 units)
Other data for the year -
Raw materials purchased 2,70,000; Carriage inward 18,000; Raw materials destroyed by fire 12,000
(Insurance claim received 7,000); Productive Wages1,40,000; hargeableof expenses
70,000; Factory expenses 1,20,000 (including depreciation on factory machinery 20,000):
Administration Overhead 80,000; Selling expenses 4 per unit and Distribution Overhead 52,870.
During the year 17000 units were sold at 30% profit on Sales.
Use FIFO method for valuation of finished goods.
,12/A company has three production departments A, B, C and two service departments D and E. The
following figures are extracted from the records of the company:
Rent and Rates
10,000
9General lighting 1,200
Indirect Wages 13,000
Power
3,000
Depreciation of Machinery L 20,000
Sundries
10,000
The following further details are
available :
A
C D
Floor space (sq, metre) 2000 2500 3000
Light points (Nos.) 2000 500
100 150 200 100
Direct wages (?) 6,000
50
4,000 6,000
H.P. of machines 60
3,000 1,000
30 S0
Value of machinery () 1,20,000 1,60,000 2,00,000 10,000 10,000
Working hours 3,113 2,014 2,033
(5) |A(2nd Sm)-Cost Accounting-I-HIDSCC-2/CCF
The expenses ofDand E are allocated as
follows :
A B C D E
D 20% 30% 40% 10%
E 40% 20% 30% 10%
(a) Determine the Overhead rate per hour.
(b) What is the total cost of an article, if its raw
material cost is 150, labour cost is? 130and it passes
through Departments A, B and C for 5, 6 and 8 hours
respectively? 12+3
13. (a) The Cost Accountant of YLtd. has
computed labour turnover rates for the month ended 31st March,
2024 as 10%, 5% and 3% respectively under 'Flux Method',
Method'. Replacement Method' and 'Separation
If the number of workers replaced during that month is 60, find out the
number of :
(i) Workers were recruited and joined
(ii) Number of workers were separated.
(b) What do you mean by 'Perpetual Inventory System'? 5+5+5
