Fixed cost is known as - (1) Special cost (2) Direct cost (3) Prime cost (4) Overhead cost

Fixed cost is known as - (1) Special cost (2) Direct cost (3) Prime cost (4) Overhead cost
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(4) Overhead cost. Explanation: Fixed costs are business expenses that are not dependent on the level of goods or services produced by the business. They tend to be time-related, such as salaries or rents being paid per month, and are often referred to as overhead costs. This is in contrast to variable costs, which are volume-related (and are paid per quantity produced).
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Fixed cost is known as (1) Special cost (2) Direct cost (3) Prime cost (4) Overhead cost

Description : Fixed cost is known as (1) Special cost (2) Direct cost (3) Prime cost (4) Overhead cost

Last Answer :  Overhead cost

Overhead refers to: (a) Direct or Prime Cost (b) All Indirect costs (c) only Factory indirect costs

Description : Overhead refers to: (a) Direct or Prime Cost (b) All Indirect costs (c) only Factory indirect costs

Last Answer : (b) All Indirect costs

Expenditure on research and development (R & D) is categorised as the __________, while making an estimate of the total product cost for a chemical plant. (A) Overhead cost (B) Fixed expenses (C) General expenses (D) Direct production cost

Description : Expenditure on research and development (R & D) is categorised as the __________, while making an estimate of the total product cost for a chemical plant. (A) Overhead cost (B) Fixed expenses (C) General expenses (D) Direct production cost

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The 'total capital investment' for a chemical process plant comprises of the fixed capital investment and the (A) Overhead cost (B) Working capital (C) Indirect production cost (D) Direct production cost

Description : The 'total capital investment' for a chemical process plant comprises of the fixed capital investment and the (A) Overhead cost (B) Working capital (C) Indirect production cost (D) Direct production cost

Last Answer : (B) Working capital

Factory manufacturing cost is the sum of the direct production cost (A) Fixed charges and plant overhead cost (B) And plant overhead cost (C) Plant overhead cost and administrative expenses (D) None of these

Description : Factory manufacturing cost is the sum of the direct production cost (A) Fixed charges and plant overhead cost (B) And plant overhead cost (C) Plant overhead cost and administrative expenses (D) None of these

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Utilities cost in the operation of chemical process plant comes under the (A) Plant overhead cost (B) Fixed charges (C) Direct production cost (D) General expenses

Description : Utilities cost in the operation of chemical process plant comes under the (A) Plant overhead cost (B) Fixed charges (C) Direct production cost (D) General expenses

Last Answer : C) Direct production cost

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Last Answer : (D) Total product cost = direct production cost + plant overhead cost

Marginal cost is computed as A. Prime cost + All Variable overheads B. Direct material + Direct labour + Direct Expenses + All variable overheads C. Total costs – All fixed overheads D. All of the above

Description : Marginal cost is computed as A. Prime cost + All Variable overheads B. Direct material + Direct labour + Direct Expenses + All variable overheads C. Total costs – All fixed overheads D. All of the above

Last Answer : A. Prime cost + All Variable overheads

Which of the following costs is related to marginal cost? (1) Variable Cost (2) Implicit Cost (3) Prime Cost (4) Fixed Cost

Description : Which of the following costs is related to marginal cost? (1) Variable Cost (2) Implicit Cost (3) Prime Cost (4) Fixed Cost

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Prime cost is equal to - (1) Variable cost plus administrative cost (2) Variable cost plus fixed costs (3) Variable cost only (4) Fixed cost only

Description : Prime cost is equal to - (1) Variable cost plus administrative cost (2) Variable cost plus fixed costs (3) Variable cost only (4) Fixed cost only

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Which of the following costs is related to marginal cost? (1) Variable Cost (2) Implicit Cost (3) Prime Cost (4) Fixed Cost

Description : Which of the following costs is related to marginal cost? (1) Variable Cost (2) Implicit Cost (3) Prime Cost (4) Fixed Cost

Last Answer : Variable Cost 

Prime cost is equal to (1) Variable cost plus administrative cost (2) Variable cost plus fixed costs (3) Variable cost only (4) Fixed cost only

Description : Prime cost is equal to (1) Variable cost plus administrative cost (2) Variable cost plus fixed costs (3) Variable cost only (4) Fixed cost only

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Effluent treatment cost in a chemical plant is categorised as the __________ cost. (A) Fixed (B) Overhead (C) Utilities (D) Capital

Description : Effluent treatment cost in a chemical plant is categorised as the __________ cost. (A) Fixed (B) Overhead (C) Utilities (D) Capital

Last Answer : (C) Utilities

Breakeven point represents the condition, when the company runs under no profit no loss condition. In break even analysis, total cost comprises of fixed cost (A) Only (B) Plus variable cost (C) Plus overhead cost (D) Plus selling expenses

Description : Breakeven point represents the condition, when the company runs under no profit no loss condition. In break even analysis, total cost comprises of fixed cost (A) Only (B) Plus variable cost (C) Plus overhead cost (D) Plus selling expenses

Last Answer : Option B

During September, 300 labour hours were worked for a total cost of Rs 4800. The variable overhead expenditure variance was Rs 600 (A). Overheads are assumed to be related to direct labour hours of active working. What was the standard cost per labour hour? (a) Rs 14 (b) Rs 16.50 (c) Rs 17.50

Description : During September, 300 labour hours were worked for a total cost of Rs 4800. The variable  overhead expenditure variance was Rs 600 (A). Overheads are assumed to be related to direct labour  hours of active working. What was the standard cost per labour hour? (a) Rs 14 (b) Rs 16.50 (c) Rs 17.50

Last Answer : (a) Rs 14

Knowledge, technical skill, education etc. in economics, are regarded as - (1) social-overhead capital (2) human capital (3) tangible physical capital (4) working capital

Description : Knowledge, technical skill, education etc. in economics, are regarded as - (1) social-overhead capital (2) human capital (3) tangible physical capital (4) working capital

Last Answer : (2) human capital Explanation: Human capital is the stock of competencies, knowledge, social and personality attributes, including creativity, embodied in the ability to perform labor so ... biological, cultural and psychological complexity as they interact in explicit and/or economic transactions.

Knowledge, technical skill, education etc. in economics, are regarded as (1) social-overhead capital (2) human capital (3) tangible physical capital (4) working capital

Description : Knowledge, technical skill, education etc. in economics, are regarded as (1) social-overhead capital (2) human capital (3) tangible physical capital (4) working capital

Last Answer : human capital

In ‘make or buy’ decision, it is profitable to buy from outside only when the supplier’s price is below the firm’s own ______________. (a) Fixed Cost (b) Variable Cost (c) Total Cost (d) Prime Cost

Description : In ‘make or buy’ decision, it is profitable to buy from outside only when the supplier’s price is below the firm’s own ______________. (a) Fixed Cost (b) Variable Cost (c) Total Cost (d) Prime Cost

Last Answer : (b) Variable Cost

Calculate the prime cost from the following information: Direct material purchased: Rs. 1,00,000 Direct material consumed: Rs. 90,000 Direct labour: Rs. 60,000 Direct expenses: Rs. 20,000 Manufacturing overheads: Rs. 30,000 (a) Rs. 1,80,000 (b) Rs. 2,00,000 (c) Rs. 1,70,000 (d) Rs. 2,10,000

Description : Calculate the prime cost from the following information: Direct material purchased: Rs. 1,00,000 Direct material consumed: Rs. 90,000 Direct labour: Rs. 60,000 Direct expenses: Rs. 20,000 Manufacturing overheads: Rs. 30,000 (a) Rs. 1,80,000 (b) Rs. 2,00,000 (c) Rs. 1,70,000 (d) Rs. 2,10,000

Last Answer : (c) Rs. 1,70,000

Manufacturing cost in a chemical company does not include the (A) Fixed charges (B) Plant overheads (C) Direct products cost (D) Administrative expenses

Description : Manufacturing cost in a chemical company does not include the (A) Fixed charges (B) Plant overheads (C) Direct products cost (D) Administrative expenses

Last Answer : (D) Administrative expenses

cost of product as determined under standard cost system is _______ a) Fixed cost b) Master budget c) Direct cost d) Pre-determined cost

Description : cost of product as determined under standard cost system is _______ a) Fixed cost b) Master budget c) Direct cost d) Pre-determined cost

Last Answer : d) Pre-determined cost

GDP at factor cost exceeds GDP at market price (a) When the factor income from abroad is negative ; (b) When depreciation on fixed capital exceeds income in investment; (c) When direct tax exceeds indirect tax ; (d) When subsidies exceeds indirect taxes.

Description : GDP at factor cost exceeds GDP at market price (a) When the factor income from abroad is negative ; (b) When depreciation on fixed capital exceeds income in investment; (c) When direct tax exceeds indirect tax ; (d) When subsidies exceeds indirect taxes.

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How do I find fixed cost and total variable cost?

Description : How do I find fixed cost and total variable cost?

Last Answer : answer:I'm trying to answer as a person skilled in math, not economics, so if I use any false premises here due to ignorance of economics, someone please jump in and correct me! Okay, ... about this incorrectly. Really sorry if I'm leading you astray; just answering using my mathematical intuition.

If the fixed costs of a factory producing candles is Rs 20,000, selling price is Rs 30 per dozen candles and variable cost is Rs 1.5 per candle, what is the break-even quantity? (1) 20000 (2) 10000 (3) 15000 (4) 12000

Description : If the fixed costs of a factory producing candles is Rs 20,000, selling price is Rs 30 per dozen candles and variable cost is Rs 1.5 per candle, what is the break-even quantity? (1) 20000 (2) 10000 (3) 15000 (4) 12000

Last Answer : (1) 20000 Explanation: Breakeven quantity is the number of incremental units that the firm needs to sell to cover the cost of a marketing program or other type of investment. It is given by the formula: BEQ = FC / (P-VC) Where ... per unit = 30/12 = Rs. 2.5 So 20000/ (2.5-1.5) = 20000/1= Rs. 20,000

)If the average total cost is Rs.54, total fixed cost is Rs.45000 and quantity produced is 2500 units, find the average variable costs (in Rs.) of the firm - (1) 24 (2) 18 (3) 36 (4) 60

Description : )If the average total cost is Rs.54, total fixed cost is Rs.45000 and quantity produced is 2500 units, find the average variable costs (in Rs.) of the firm - (1) 24 (2) 18 (3) 36 (4) 60

Last Answer : (3) 36 Explanation: The standard method of calculating average variable cost is to divide total variable cost by the quantity, illustrated by this equation : Average Variable Cost = Total Variable Cost/ Quantity of ... , Average Total Cost = 45000/2500 = 18 So Average Variable Cost = 54 - 18= 36

Total fixed cost curve is - (1) Vertical (2) Horizontal (3) Positively Sloping (4) Negatively sloping

Description : Total fixed cost curve is - (1) Vertical (2) Horizontal (3) Positively Sloping (4) Negatively sloping

Last Answer : (2) Horizontal Explanation: The Total Fixed Cost Curve is a curve that graphically represents the relation between total fixed cost incurred by a firm in the short-run product of a good or service and the ... cost are, in fact, fixed, the total fixed cost curve is, in fact, a horizontal line.

Which of the following cost curve is never `U' shaped ? (1) Marginal cost curve (2) Average variable cost curve (3) Average fixed cost curve (4) Average cost curve

Description : Which of the following cost curve is never `U' shaped ? (1) Marginal cost curve (2) Average variable cost curve (3) Average fixed cost curve (4) Average cost curve

Last Answer : (3) Average fixed cost curve Explanation: Average fixed cost curve is never 'U' shaped. Since total fixed costs are unchanged as output rises, the average fixed cost curve falls continuously as output is increased.

The expenses on advertising is called - (1) Implicit cost (2) Surplus cost (3) Fixed cost (4) Selling cost

Description : The expenses on advertising is called - (1) Implicit cost (2) Surplus cost (3) Fixed cost (4) Selling cost

Last Answer : (4) Selling cost Explanation: Selling cost is total cost of marketing, advertising, and selling a product. It differs from the production cost which is incurred to produce goods. Selling cost influences the commercial desire to purchase a commodity,

Which of the following is an inverted `U' shaped curve? (1) Average cost (2) Marginal cost (3) Total cost (4) Fixed cost

Description : Which of the following is an inverted `U' shaped curve? (1) Average cost (2) Marginal cost (3) Total cost (4) Fixed cost

Last Answer : (1) Average cost Explanation: In economics, a cost curve is a graph of the costs of production as a function of total quantity produced. Both the Short-run average total cost curve (SRAC) and Long ... typically expressed as U-shaped. However, the shapes of the curves are not due to the same factors.

Which of the following is not a fixed cost? (1) Salaries of administrative staff (2) Rent of factory building (3) Property taxes (4) Electricity charges

Description : Which of the following is not a fixed cost? (1) Salaries of administrative staff (2) Rent of factory building (3) Property taxes (4) Electricity charges

Last Answer : (1) Salaries of administrative staff Explanation: Fixed costs arc business expenses that are not dependent on the level of goods or services produced by the business. They tend to be time- ... and are often referred to as overhead costs. The salaries of administrative staff are variable costs.

The fixed cost on such factors of production which are neither hired nor bought by the firm is called - (1) social cost (2) opportunity cost (3) economic cost (4) surcharged cost

Description : The fixed cost on such factors of production which are neither hired nor bought by the firm is called - (1) social cost (2) opportunity cost (3) economic cost (4) surcharged cost

Last Answer : (1) social cost Explanation: Social cost is defined as a sum of the private cost and external costs. The social cost is generally not borne by an individual. It may be borne by entire society, city or ... seller sells any product or item to buyer. This cost is added up from the use of that product.

Average Fixed Cost Curve is - (1) Upward sloping (2) `U' shaped (3) 'V' shaped (4) Downward sloping

Description : Average Fixed Cost Curve is - (1) Upward sloping (2) `U' shaped (3) 'V' shaped (4) Downward sloping

Last Answer : (4) Downward sloping Explanation: The Average Fixed Cost Curve graphically represents the relation between average fixed cost incurred by a firm in the short-run product of a good or service and the quantity produced. It is relatively high at small quantities of output.

As output increases, average fixed cost (1) increases (2) falls (3) remains consl ant (4) first increases, then falls

Description : As output increases, average fixed cost (1) increases (2) falls (3) remains consl ant (4) first increases, then falls

Last Answer : (2) falls Explanation: Average fixed cost refers to fixed costs of production (FC) divided by the quantity (Q) of output produced. It is a per-unit-of-output measure of fixed costs. As the ... decreases because the same amount of fixed costs is being spread over a larger number of units of output.

Why is the law of diminishing marginal returns true? a. specialization and division of labor b. spreading the average fixed cost c. limited capital d. all factors being variable in the long-run

Description : Why is the law of diminishing marginal returns true? a. specialization and division of labor b. spreading the average fixed cost c. limited capital d. all factors being variable in the long-run

Last Answer : c. limited capital

A firm should cease production in the short(a) Price is less than average fixed cost (b) Price is less than average cost (c) Profits are negative (d) Price is less than average variable cost run if

Description : A firm should cease production in the short run if(a) Price is less than average fixed cost (b) Price is less than average cost (c) Profits are negative (d) Price is less than average variable cost

Last Answer : (d) Price is less than average variable cost

If the fixed costs of a factory producing candles is Rs 20,000, selling price is Rs 30 per dozen candles and variable cost is Rs 1.5 per candle, what is the break-even quantity? (1) 20000 (2) 10000 (3) 15000 (4) 12000

Description : If the fixed costs of a factory producing candles is Rs 20,000, selling price is Rs 30 per dozen candles and variable cost is Rs 1.5 per candle, what is the break-even quantity? (1) 20000 (2) 10000 (3) 15000 (4) 12000

Last Answer : 20000

If the average total cost is Rs. 54, total fixed cost is Rs. 45000 and quantity produced is 2500 units, find the average variable costs (in Rs.) of the firm : (1) 24 (2) 18 (3) 36 (4) 60

Description : If the average total cost is Rs. 54, total fixed cost is Rs. 45000 and quantity produced is 2500 units, find the average variable costs (in Rs.) of the firm : (1) 24 (2) 18 (3) 36 (4) 60

Last Answer : 36

Average Fixed Cost Curve is (1) Upward sloping (2) ‘U’ shaped (3) ‘V’ shaped (4) Downward sloping

Description : Average Fixed Cost Curve is (1) Upward sloping (2) ‘U’ shaped (3) ‘V’ shaped (4) Downward sloping

Last Answer : Downward sloping 

Which of the following cost curve is never ‘U’ shaped ? (1) Marginal cost curve (2) Average variable cost curve (3) Average fixed cost curve (4) Average cost curve

Description : Which of the following cost curve is never ‘U’ shaped ? (1) Marginal cost curve (2) Average variable cost curve (3) Average fixed cost curve (4) Average cost curve

Last Answer : Average fixed cost curve

The expenses on advertising is called (1) Implicit cost (2) Surplus cost (3) Fixed cost (4) Selling cost

Description : The expenses on advertising is called (1) Implicit cost (2) Surplus cost (3) Fixed cost (4) Selling cost

Last Answer : Selling cost

Which of the following is an inverted ‘U’ shaped curve ? (1) Average cost (2) Marginal cost (3) Total cost (4) Fixed cost

Description : Which of the following is an inverted ‘U’ shaped curve ? (1) Average cost (2) Marginal cost (3) Total cost (4) Fixed cost

Last Answer : Average cost

Total fixed cost curve is (1) Vertical (2) Horizontal (3) Positively Sloping (4) Negatively sloping

Description : Total fixed cost curve is (1) Vertical (2) Horizontal (3) Positively Sloping (4) Negatively sloping

Last Answer : Horizontal

As output increases, average fixed cost (1) increases (2) falls (3) remains constant (4) first increases, then falls

Description : As output increases, average fixed cost (1) increases (2) falls (3) remains constant (4) first increases, then falls

Last Answer : falls

The fixed cost on such factors of production which are neither hired nor bought by the firm is called (1) social cost (2) opportunity cost (3) economic cost (4) surcharged cost

Description : The fixed cost on such factors of production which are neither hired nor bought by the firm is called (1) social cost (2) opportunity cost (3) economic cost (4) surcharged cost

Last Answer : social cost

Describe the concept of fixed cost, variable cost and total cost.

Description : Describe the concept of fixed cost, variable cost and total cost.

Last Answer : Total cost  Total cost refers to total expense incurred in reaching a particular level of output, if such total cost is divided by quantity produced average or unit cost is obtained. The ... . Direct material, direct labour, direct expenses, variable overheads are some examples of variable cost.

.A tariff that is levied as a fixed charge per unit of imports is known as a (a) Specific tariff (b) Ad- valorem tariff © Import tariff (d) Export tariff.

Description : .A tariff that is levied as a fixed charge per unit of imports is known as a (a) Specific tariff (b) Ad- valorem tariff © Import tariff (d) Export tariff.

Last Answer : a) Specific tariff

Demand for complementary goods is known as - (1) Joint demand (2) Derived demand (3) Direct demand (4) Cross demand

Description : Demand for complementary goods is known as - (1) Joint demand (2) Derived demand (3) Direct demand (4) Cross demand

Last Answer : (1) Joint demand Explanation: Demand for complementary goods is called Joint Demand. Joint Demand is the demand in which goods are related in such a way that an increase in the demand for one causes an increase in the demand for the other.

Demand for complementary goods is known as (1) Joint demand (2) Derived demand (3) Direct demand (4) Cross demand

Description : Demand for complementary goods is known as (1) Joint demand (2) Derived demand (3) Direct demand (4) Cross demand 

Last Answer : Joint demand

Which propagation method is known as special case of skywave? A. Space wave B. Troposcatter C. Ground wave D. Direct wave

Description : Which propagation method is known as special case of skywave? A. Space wave B. Troposcatter C. Ground wave D. Direct wave

Last Answer : B. Troposcatter

A Project with a total funding of $100,000 finished with a BAC value of $95,000. What term can BEST describe the difference of $5,000? A. Cost Variance B. Management Overhead C. Management Contingency Reserve D. Schedule Variance

Description : A Project with a total funding of $100,000 finished with a BAC value of $95,000. What term can BEST describe the difference of $5,000? A. Cost Variance B. Management Overhead C. Management Contingency Reserve D. Schedule Variance

Last Answer : C. Management Contingency Reserve