Blog
Cost Accounting System – CA Inter Costing Study Material Question 1.Explain integrated accounting system and state its advantages. fCA Inter Nov. 2019, May 2019, May 2015, May 2012, May 2010, 5 Marks]Answer:Integrated Accounting System:Integrated Accounting System is a system of accounting, where the cost and financial accounts are kept in the same set of books. […]
Cost Sheet – CA Inter Costing Study Material Question 1.State the names of cost heads in a cost sheet on the basis of functions and define all the cost heads. [ICAI Module]Answer:The costs as classified on the basis of functions are grouped into the following cost heads in a cost sheet:(i) Prime Cost(ii) Cost of […]
Activity Based Costing (ABC) – CA Inter Costing Study Material Question 1.Explain Activity Based Budgeting. [CA Inter Nov. 2018, 5 Marks]Answer: Activity Based Budgeting analyse the resource input or cost for each activity. It provides a framework for estimating the amount of resources required as per the budgeted level of activity. Actual results can be […]
Overheads: Absorption Costing Method – CA Inter Costing Question Bank Question 1.Distinguish between Fixed overheads and Variable overheads. (May 2010, 2 marks)Answer:Fixed Overheads Vs. Variable OverheadsFixed overheads are not affected by any variation in the volume of activity, e.g., managerial remuneration, rent etc. These remain the same from one period to another except when they […]
Employee Cost – CA Inter Costing Study Material Question 1.Distinguish between ‘Direct and Indirect labour costs’. [CA In ter Nov. 2001, 2 MarksjAnswer:Direct Labour Cost is the cost of benefits paid or payable to the employees which can be directly attributed to a cost object in an economically feasible manner. This can be easily identified […]
Material Cost – CA Inter Costing Study Material Inventory Control Levels:Re-order Level (ROL): It is the level at which fresh order needs to beROI. = Max. Consumption × Max. Re-order PeriodOrMin. Stock Level – (Avg. Consumption × Average Re-order period!Safety Stock – Avg. lead time consumptionRe-order period is also known as Lead Time Re-order Quantity/Economic […]
Introduction to Cost and Management Accounting Question 1.What is Cost Accounting? Enumerate its important objectives. [CA Inter May 2016, May 2010, May 2008, Nov. 2002, May 2001, 3 Marks]Answer:Cost Accounting is defined as “the process of accounting for cost which begins with the recording of income and expenditure or the bases on which they are […]
Audit of Banks – CA Inter Audit MCQ Question 1.Regulating body in case of banks is:(a) SEBI(b) IRDA(c) RBI(d) ICAIAnswer:(c) RBI Question 2.Long Form Audit report is to be submitted by:(a) 30th April every year(b) 30th June every year(c) 30th Sep. every year(d) None of the aboveAnswer:(b) 30th June every year Question 3.The matters […]
Audit of Different Types of Entities – CA Inter Auditing Notes Question 1.Explain in detail the duties of Comptroller and Auditor General of India.[May 03 (8 Marks), Nov. 12 (10 Marks), RTP-May 19, Nov. 19]Answer:Duties of Comptroller and Auditor General:1. Compilation and submission of Accounts: The C & AG should compile the accounts pertaining to […]
Audit Report – CA Inter Auditing Notes Question 1In order to form the audit opinion as required by SA 700, the auditor shall conclude as to whether the auditor has obtained reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error. Explain the conclusions […]