B.Com (VI Semester) Examination
Commerce
Paper: BCM – 601 (Old Course)
(Cost Accounting)
Full Marks : 80
Pass Marks : 35%
Time : Three Hours
Notes: (i) Answer all questions as per the instructions in each section.
(ii) The figures in the margin indicate full marks for the questions.
SECTION I
1. Answer the following questions: 2x5=10
a) What are the different elements of cost?
b) Explain the term “Marginal Cost”
c) What is LIFO Method?
d) What is Job Costing?
e) Explain the term ‘Normal Loss’
SECTION II
2. Answer any four questions from the following: 5x4=20
a) Explain ABC Analysis with an example.
b) What is Cost Sheet? Give the Proforma of Cost Sheet.
c) What is Halsey Premium Plan? State its advantages.
d) What are the effects of high labour turnover?
e) What are Minimum Level and re-order level? Explain with examples.
f) Discuss the nature of Cost Accounting.
SECTION III
3. Answer any five questions from the following: 10x5=50
a) “Costs may be classified in a variety of way according to their nature.” Explain this statement giving examples of classification of costs.
b) What is administrative overhead? Explain different types of administrative overheads.
c) From the following particulars Write up the pricing of stores ledger under Last n First out method.
April 2021
1 – Stock in hand 500 units @Rs.20 each.
3 - Issued 200 Unit.
3 – Purchased 150 units @Rs.22 each.
4 – Issued 100 Units
5 – Purchased 200 units @Rs.2.5 each.
6 – Issued 300 units.
6 – Returned to store 10 units (issued on 4th April)
7 – Issued 100 units.
8 – Issued 50 units.
On 10th April it was noticed that there is shortage of 10 units.
d) Discuss the different methods of wage payment.
e) What are the different basis of apportionment of overheads? Explain in detail.
f) The following information has been obtained from the records of ABC
Corporation for the period from April 1 to April 30, 2021.
01/04/2021 30/04/2021
Stock of raw materials - 30,000 25,000
Stock of Work-in-Progress - 12,000 25,000
Stock of Finished goods - 60,000 55,000
Transactions during the month are:
Purchase of raw materials - 4, 50,000
Wages Paid - 2,30,000
Factory overheads - 92,000
Administrative Overheads - 30,000
Selling and distribution overheads - 20,000
Sales - 9, 00,000
Prepare a statement giving the following information:
a) Materials consumed
b) Prime cost
c) Factory cost
d) Cost of Production
e) Cost of Sales
f) Net Profit
g) X took a contract for the construction of a building on 0/01/2020 from PWD. The contract price was agreed at Rs. 800000. X has made the following expenditure during the year.
a) Direct materials purchased - Rs. 20,000
b) Materials issued from Stores – Rs.30, 000
c) Direct Labour - Rs.30, 000
d) Plant & Machinery - Rs.80, 000
e) Direct expenses - Rs.20,000
From the following further information, prepare a contract A/c for the year.
Contract A/c for the year
Value of Plant & Machinery (31/12/20) – Rs. 60,000
Stock of materials at site (31/12/20) – Rs.10, 000
Material s returned to store – Rs. 1, 50,000
Cash received from the contractee – Rs.1, 40,000
Cost of work not certified – Rs.8000
