# 2023 Cost Accounting Question Paper (Hons), Dibrugarh University B.Com 4th Sem CBCS Pattern

## Dibrugarh University B.Com 4th Sem CBCS Pattern4 SEM TDC COAC (CBCS) C 408COMMERCE (Core)Paper: C-408 (Cost Accounting)Full Marks: 80Pass Marks: 32Time: 3 hours

The figures in the margin indicate full marks for the questions.

1. (a) Fill in the blanks:                   1x4=4

(1) A _______ is a device for the purpose of breaking up costs into smaller subdivisions.

(2) _______ level is the level above which stocks are not allowed to rise.

(3) Costs that contain both fixed and variable elements are known as _______ costs.

(4) Under Job Costing, each job or order is given a _______.

(b) Write True or False:              1x4=4

(1) Opportunity cost is the cost of opportunity lost.

(2) Labour turnover is harmful and costly.

(3) All direct costs are termed as overhead.

(4) In Contract Costing, materials purchased or supplied from the stores shall be credited to Contract A/c.

2. Write short notes on any four of the following:              4x4=16

(a) Elements of Costs.

(b) Economic Order Quantity.

(c) Piece-rate System.

(d) Machine Hour Rate.

(e) Batch Costing.

3. (a) “Cost Accounting has become an essential tool of management.” Explain the statement. What are its limitations? 8+6=14

Or

(b) From the following particulars, prepare a Cost Sheet for the month of January, 2023: 14

 Rs. Stock of raw materials on 1st January, 2023 Stock of raw materials on 31st January, 2023 Purchase of raw materials Productive wages Depreciation Factory rent Materials destroyed by fire Office rent General expenses Selling overhead Number of units produced during the month 30,000 45,000 2,80,000 63,000 20,000 18,000 2,000 48,000 6,000 15,000 4,000 units

Stock of finished goods on 1st January, 2023 was 2,000 units valued at Rs. 30,000.

Stock of finished goods on 31st January, 2023 was 500 units. Apply FIFO method.

4. (a) Two materials X and Y are used as follows:

Minimum usage – 50 units per week each

Maximum usage – 150 units per week each

Normal usage – 100 units per week each

 X Y Ordering Quantity (units) Delivery Period (weeks) 600 4 to 6 1,000 2 to 4

Calculate for each material:      3½ x 4 = 14

(1) Minimum Level.

(2) Maximum Level.

(3) Reordering Level.

(4) Average Stock Level.

Or

(b) Calculate normal and overtime wages payable to a workman on the basis of the following particulars:

 Days Hours Worked Monday Tuesday Wednesday Thursday Friday Saturday 9 8 10 11 9 5

Normal working hours are 8 hours per day and the normal rate of wages is Rs. 12.50 per hour. Overtime pay is at the under-mentioned rates:

Upto 9 hours in a day at single rate and over 9 hours in a day at double rate. Alternatively, upto 48 hours in a week at single rate and over 48 hours at double rate.

Which is more beneficial to the workman?      14

5. (a) What do you understand by over-absorption and under-absorption of overheads? What are the causes of under-absorption and over-absorption of overheads? How are they treated in Cost Accounts?                   2+2+8+2=14

Or

(b) A manufacturing company has three production departments and two service departments. Overhead allocated for a year to these departments are as follows:

 Production Dept. (Rs.) Service Dept. (Rs.) A B C 5,000 3,000 2,500 1 2 2,000 3,000

The following percentages are applicable for the apportionment of the costs of the services departments:

 Dept. A B C 1 2 1 2 40% 20% 30% 40% 10% 30% - 10% 20% -

Find out the total costs of production departments after apportionment of the costs of the service departments taking into consideration inter-departmental services.                 14

6. (a) The following information relates to a building contract for Rs. 10,00,000:

 2021-22 (Rs.) 2022-23 (Rs.) Materials issued Direct wages Direct expenses Indirect expenses Work certified Work uncertified Materials at site Plant issued Cash received from contractor 3,00,000 2,30,000 22,000 6,000 7,50,000 8,000 5,000 14,000 6,00,000 84,000 1,05,000 10,000 1,400 10,00,000 - 7,000 2,000 10,00,000

Value of plant as on 31st March, 2022 was Rs. 7,000 and on 31st March, 2023 was Rs.5,000

Prepare (1) Contract A/c and (2) Contractee’s A/c for the years 2021-22 and 2022-23 taking into consideration such profit for transfer to the Profit & Loss A/c as you think proper.                     7+7=14

Or

(b) What is a Reconciliation Statement? Why is it necessary to reconcile the profit shown by the Cost Accounts and Financial Accounts? Under what circumstances such reconciliation be avoided?                   3+7+4=14

***