Paper of Fdi

Only available on StudyMode
  • Topic: Direct material price variance, Price, May 2002
  • Pages : 7 (1274 words )
  • Download(s) : 96
  • Published : January 1, 2013
Open Document
Text Preview
81178 Seat No.__________
Third Year B. B. A. Examination
April / May – 2003
Management Accountancy
Time : 3 Hours] [Total Marks : 70
Instructions : (1) Figures to the right indicate marks of the questions.
(2) Show calculation wherever necessary.
1 Define Management Accountancy ? Differentiate 7
Management Accountancy and Financial Accountancy.
OR
1 Write notes in detail on “activity based costing”. 7
OR
2 Modern Manufacturers Ltd. have three production 7
departments P1, P2 and P3 and two service departments
S1 and S2, the details pertaining to which are as under :
Particulars P1 P2 P3 S1 S2
Direct wages (Rs.) 3,000 2,000 3,000 1,500 195
Working hours 3,070 4,475 2,419 — —
Value of
machines (Rs.) 60,000 80,000 1,00,000 5,000 5,000
Horse-power
of machines 60 30 50 10 —
Light points 10 15 20 10 5
Floor space
(sq. feet) 2,000 2,500 3,000 2,000 500
The following figures are extracted from the accounting
records :
Rs.
Rent and Rates ......................... 5,000
General lighting ........................... 600
Indirect Wages ........................... 1,939
81178] 1 [Contd....
Power........................................... 1,500
Depreciation on machines ...... 10,000
Sundries ...................................... 9,695
The expenses of the service departments are to be
allocated as under :
P P P S S
S 20% 30% 40% 10%
S 40% 20% 30% 10%
1 2 3 1 2
1
2
-
-
Prepare a statement showing distribution of overheads
to various departments and redistribution of service
departments expenses to production departments applying
"Repeated distribution method".
2 The standard mix of product ‘X’ is as follows : 11
Material Kgs. Price per kg. Rs.
A 50 5
B 20 4
C 30 10
100
The standard loss in production is 10% of the input.
There is no scrap value.
Actual production of product ‘X’ was 5400 kgs. Actual
consumption of material and cost were as follows :
Material Kgs. Price per kg.
A 3,170 5.50
B 1,260 3.75
C 1,920 9.50
6,300
You are required to calculate the following variances :
(i) Material cost variance
(ii) Material price variance
(iii) Material mix variance
(iv) Material usage variance
(v) Material yield variance.
OR
81178] 2 [Contd....
2 (a) What are the advantages and limitations of standard 6
costing ?
(b) Differentiate standard costing and Budgetary control. 5
3 From the particulars given below prepare a cash budget 12
from January to May 2002 :
(i) Sales :
Month Amount (Rs.)
November 2001 1,60,000
December 2001 1,40,000
January 2002 1,60,000
February 2002 2,00,000
March 2002 1,60,000
April 2002 2,00,000
May 2002 1,80,000
June 2002 2,40,000
July 2002 2,00,000
(ii) Sales 20% cash and 80% credit payable in the third
month.
(iii) Variable expenses 5% on turnover, time lag half month. (iv) Commission 5% on credit sale payable in the third
month.
(v) Purchases are 60% of the sales. Payment will be made
in 3rd month of purchases.
(vi) Rent Rs. 6,000 paid every month.
(vii) Other payments :
Tax : Rs. 40,000 (April)
Fixed assets : Rs. 1,00,000 (March)
(viii) Depreciation 3,500 per month.
(ix) Opening cash balance Rs. 50,000.
OR
81178] 3 [Contd....
3 The following data is available in a manufacturing 12
company for a yearly period :
(Rs. in lacs)
Fixed Expenses Rs. Semivariable expenses Rs.
Wages & Salaries 9.5 Maintenance & repairs 3.5
Rent & Taxes 6.6 Indirect Labour 7.9
Depreciation 7.4 Sales department-salaries 3.8
Sundry administrative Sundry administrative
expenses 6.5 expenses 2.8
30.0 18.0
Variable expenses (at 50% capacity)
Rs.
Materials ....................... 21.7
Labour ........................... 20.4
Other expenses............... 7.9
50.0
Assume that fixed expenses remain constant for all levels
of production; semi-variable expenses remain constant
between 45% and 65% of capacity and increase by 10%
between 65% and 80% and increase by 20% between 80%
and 100%.
Sales at various levels are as under : (Rs. in...
tracking img