Basic Accounting Concepts MCQs

Welcome to our comprehensive collection of Multiple Choice Questions (MCQs) on Basic Accounting Concepts, a fundamental topic in the field of Cost Accounting. Whether you're preparing for competitive exams, honing your problem-solving skills, or simply looking to enhance your abilities in this field, our Basic Accounting Concepts MCQs are designed to help you grasp the core concepts and excel in solving problems.

In this section, you'll find a wide range of Basic Accounting Concepts mcq questions that explore various aspects of Basic Accounting Concepts problems. Each MCQ is crafted to challenge your understanding of Basic Accounting Concepts principles, enabling you to refine your problem-solving techniques. Whether you're a student aiming to ace Cost Accounting tests, a job seeker preparing for interviews, or someone simply interested in sharpening their skills, our Basic Accounting Concepts MCQs are your pathway to success in mastering this essential Cost Accounting topic.

Note: Each of the following question comes with multiple answer choices. Select the most appropriate option and test your understanding of Basic Accounting Concepts. You can click on an option to test your knowledge before viewing the solution for a MCQ. Happy learning!

So, are you ready to put your Basic Accounting Concepts knowledge to the test? Let's get started with our carefully curated MCQs!

Basic Accounting Concepts MCQs | Page 8 of 8

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Q71.
If the direct material cost is $5500 and the prime cost is $25000, then the direct manufacturing labor would be

a.

$19,500

b.

$30,500

c.

$45,500

d.

$22,500

Discuss
Answer: (a).$19,500
Q72.
The direct manufacturing labor costs is $40000 and manufacturing overhead cost is $7000, then conversion cost would be

a.

$47,000

b.

$33,000

c.

$57,000

d.

$18,000

Discuss
Answer: (a).$47,000
Q73.
If the direct material cost is $85000 and direct manufacturing labor is $25000, then prime cost would be

a.

$13,500

b.

$55,600

c.

$60,000

d.

$110,000

Discuss
Answer: (d).$110,000
Q74.
In costing of project, the wages paid to workers for the unproductive work at the time of material shortage is termed as

a.

indirect wages

b.

health wages

c.

idle time wages

d.

shortage time wages

Discuss
Answer: (c).idle time wages
Q75.
The conversion cost is subtracted from direct manufacturing labor cost to calculate the

a.

direct overheads

b.

overhead costs

c.

factory overhead

d.

manufacturing overhead cost

Discuss
Answer: (d).manufacturing overhead cost
Q76.
If the total manufacturing cost is $40000 and the total units manufactured is 500 units, then the per unit cost would be

a.

$80

b.

$65

c.

$7

d.

$35

Discuss
Answer: (a).$80
Q77.
In cost accounting, the types of inventory do not include

a.

direct materials inventory

b.

work in process inventory

c.

finished goods inventory

d.

indirect material inventory

Discuss
Answer: (d).indirect material inventory
Q78.
If the cost per unit is $70 and the total number of units manufactured in company are 6000, then the total manufacturing cost would be

a.

$240,000.00

b.

$320,000

c.

$210,000

d.

$420,000

Discuss
Answer: (d).$420,000
Q79.
The cost computed by dividing total manufacturing cost and total manufactured units is known as

a.

per unit cost

b.

total cost

c.

total indirect cost

d.

total effective cost

Discuss
Answer: (a).per unit cost
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