# Costing Methods MCQs

Welcome to our comprehensive collection of Multiple Choice Questions (MCQs) on Costing Methods, 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 Costing Methods 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 Costing Methods mcq questions that explore various aspects of Costing Methods problems. Each MCQ is crafted to challenge your understanding of Costing Methods 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 Costing Methods 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 Costing Methods. 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 Costing Methods knowledge to the test? Let's get started with our carefully curated MCQs!

### Costing Methods MCQs | Page 5 of 17

Q41.
According to net present value, the projects that would be acceptable must have a
Q42.
The cash flows method, used by net present value method and internal rate of return are
Q43.
The working capital cash outflow, cash outflow to buy machine and cash inflow from machine are the examples of
Q44.
The decrease in purchasing power of any monetary unit such as euro, dollars etc. is classified as
Q45.
If tax operating income is $885000 per year and the net initial investment is$35750000 then increase in average is
Q46.
Which of the following is an example of purchasing costs?
If an average inventory is 2000 units, annual relevant carrying cost of each unit is $5, then the annual relevant carrying cost will be Answer: (a).$5,000
If the demand of one year is 25000 units, relevant ordering cost for each purchase order is $210, carrying cost of one unit of stock is$25 then the economic order quantity will be