Reference no: EM132569313

Problem 1: ADT Ltd. has furnished the following standard cost data per unit of output. Direct labor 10 hours at Rs 7.50 ,Rs 75. Direct wages paid Rs 4,07,000 for 55,000 hours worked per hour at Rs 8.50 per hour Rs 85. Actual output 4,900 units. The labor efficiency variance is:

a) Rs 50,000 favorable

b) Rs 55,500 (favorable)

c) Rs 35,000 (Adverse)

d) Rs 45,000 (Adverse)

Problem 2: A contractor has to supply 8,000 paper cones per day to a textile mill. He finds that when he starts a production run he can produce 35,000 paper cones per day. The cost of holding a paper cone in stock for one year is 3 paise and setting up cost of production run is Rs. 20. The Economic Batch Quantity (EBQ) is:

a) 62,397 units

b) 63,497 units

c) 64,567 units

d) 65,765 units

Problem 3: Following information is provided for the year 2019: P/v ratio- 30% ; Margin of safety- 40%; Sales- Rs 12,00,000. Compute the fixed cost.

a) Rs 3,90,800

b) Rs 2,16,000

c) Rs 5,20,500

d) Rs 1,10,200

Problem 4: X company has furnished the following standard cost data per unit of output. Direct material 25 kg @ Rs 12 per kg Rs 300. The following information for the month of June 2005 is provided: Direct material used 1,25,000 kg at a cost of Rs 14,37,500; Actual output: 4,900 units. The material price variance is :

a) Rs 62,500 favorable

b) Rs 57,000 adverse

c) Rs 60,000 adverse

d) Rs 65,000 favorable