快速查题-ACCA英国注册会计师试题

 UU Company has been asked to quote for a special contract. The following information about the material needed has been given:

 Material X: 

Book value                          Scrap value                          Replacement cost 

$5.00 per kg                        $0.50 per kg                             $5.50 per kg  

The contract requires 10 kgs of Material X. There are 250 kgs of this material in inventory which was purchased in error over two years ago. If Material X is modified, at a cost of $2 per kg, it could then be used as a substitute for material Y which is in regular use and currently costs $6 per kg. 

What is the relevant cost of the materials for the special contract? 

VV Company has been asked to quote for a special contract. The contract requires 100 hours of labour. However, the labourers, who are each paid $15 per hour, are working at full capacity.  

There is a shortage of labour in the market. The labour required to undertake this special contract would have to be taken from another contract, Z, which currently utilises 500 hours of labour and generates $5,000 worth of contribution.   

If the labour was taken from contract Z, then the whole of contract Z would have to be delayed, and such delay would invoke a penalty fee of $1,000. 

What is the relevant cost of the labour for the special contract? 

An organisation is considering the costs to be incurred in respect of a special order opportunity. The order would require 1,250 kgs of material D, that is readily available and regularly used by the organisation on its normal products.   

There are 265 kgs of material D in inventory which cost $795 last week. The current market price is $3.24 per kg. Material D is normally used to make product X. Each unit of X requires 3 kgs of material D, and if material D is costed at $3 per kg, each unit of X yields a contribution of $15.

 What is the relevant cost of material D to be included in the costing of the special order? 

 H has in inventory 15,000 kg of M, a raw material which it bought for $3/kg five years ago, for a product line which was discontinued four years ago. M has no use in its existing state but could be sold as scrap for $1.00 per kg.  One of the company’s current products (HN) requires 4 kg of a raw material, available for $5.00 per kg.  M can be modified at a cost of $0.75 per kg so that it may be used as a substitute for this material. However, after modification, 5 kg of M is required for every unit of HN to be produced. 

 H has now received an invitation to tender for a product which could use M in its present state. 

What is the relevant cost per kg of M to be included in the cost estimate for the tender? 

 A company is launching a new product. In order to manufacture this new product, two types of labour are required. The new product required 5 hours of skilled labour and 5 hours of semi skilled. 

A skilled employee is available and is currently paid $10 per hour. A replacement would, however, have to be obtained at a rate of $9 per hour for the work that would otherwise be done by the skilled employee. The current rate for semi skilled workers is $5 per hour and an additional employee would be appointed for this work. 

What is the relevant cost of labour to be used in making one unit of the new product? 

This objective test question contains a question type which will only appear in a computer-based exam, but this question provides valuable practice for all students whichever version of the exam they are taking. 

In a make or buy decision which FOUR of the following are to be correctly included in the considerations? Select all that apply. 

(i) The amount of re-allocated rent costs caused by using the production space differently.

 (ii) The variable costs of purchase from the new supplier. 

(iii) The amount of the bribe from the potential new supplier. 

(iv) The level of discount available from the new supplier. 

(v) The redundancy payments to the supervisor of the product in question. 

(vi) The saved labour costs of the production staff re-directed to other work. 

(vii) The materials no longer bought to manufacture the product. 

This objective test question contains a question type which will only appear in a computer-based exam, but this question provides valuable practice for all students whichever version of the exam they are taking. 

While a drag and drop style question is impossible to fully replicate within a paper based medium, some questions of this style have been included for completeness.

 Ace Limited is considering whether or not to cease production of leather-bound diaries.   

Which of the following items are valid factors to consider in this decision?

  The diaries made a loss in the year just passed

  The diaries made a positive contribution in the year just passed

  The market outlook in the long term looks very poor

  The budget for next year shows a loss

  The business also sells pens and many diary buyers will often also buy a pen

  The business was founded to produce and sell diaries 

Drag and drop the correct factors in the box below: 

An information technology consultancy firm has been asked to do an urgent job by a client, for which a price of $2,500 has been offered. The job would require the following. 

(a) 30 hours' work from one member of staff, who is paid on an hourly basis, at a rate of $20 per hour, but who would normally be employed on work for clients where the charge-out rate is $45 per hour. No other member of staff is able to do the member of staff in question's work. 

(b) The use of five hours of mainframe computer time, which the firm normally charges out to external users at a rate of $50 per hour. Mainframe computer time is currently used 24 hours a day, seven days a week. 

(c) Supplies and incidental expenses of $200. 

Required 

Fill in the blank in the sentence below. 

The relevant cost or opportunity cost of the job is $........ 

How would the above decision change if Pawns, Rooks and Bishops were manufactured in different departments, variable costs could be split down into the costs of direct materials, labour and overheads, and fixed costs could be analysed into the costs of administrative staff and equipment and premises costs? 

Choose the correct word(s) from those highlighted. 

In a situation where a company must subcontract work to make up a shortfall in its own in-house capabilities, its total cost will be minimised if those units bought out from a subcontractor/made in-house have the lowest/highest extra variable/fixed cost of buying out/making in-house per unit of scarce resource/material.