Product Costing (Leaving Cert Accounting): Quizzes
📚Quizzes
Practise the questions
10 questions from this quiz
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Practise the questions
10 questions from this quiz
What is product costing used to calculate?
What is product costing used to calculate?
Total cost of producing goods
Which three components form the manufacturing account?
Which three components form the manufacturing account?
Raw materials, direct costs, overheads
Which is an example of a direct cost?
Which is an example of a direct cost?
Raw materials used in production
What happens to fixed costs when production stops?
What happens to fixed costs when production stops?
They remain constant
Which cost contains both fixed and variable elements?
Which cost contains both fixed and variable elements?
Mixed cost
Why should managers only be assessed on controllable costs?
Why should managers only be assessed on controllable costs?
To ensure fair performance evaluation
Which purchase prices does FIFO use to value closing stock?
Which purchase prices does FIFO use to value closing stock?
Most recent purchase prices
What is the first step in the absorption costing process?
What is the first step in the absorption costing process?
Allocation
If overhead is £48,000 and labour hours are 8,000, what is the rate per hour?
If overhead is £48,000 and labour hours are 8,000, what is the rate per hour?
£6
What happens to profits when over-absorption occurs?
What happens to profits when over-absorption occurs?
Profits are greater than expected