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(i) The Cost Accounting Standard 15 deals with _______.

Employee Cost Utilities Cost Pollution Control Cost Selling and Distribution Overheads Cost

(ii) The overall objectives of the independent Cost Auditor and the conduct of an audit in accordance with Cost Auditing Standards are covered in _____________.

Cost Auditing Standard 101 Cost Auditing Standard 102 Cost Auditing Standard 103 Cost Auditing Standard 104

(iii) A company engaged in the construction business is covered under the Companies (Cost Records and Audit) Rules, 2014 but does not include ____________.

Outsourcing by a sub-contracting company A company working on BOT (Build, Operate, Transfer) mode A company working in a Special Economic Zone A project undertaken as EPC (Engineering, Procurement, Construction) contract

(iv) During the Financial Year 2016-17, a manufacturing unit reported the following financial data (in lakh): Net Sales ₹ 1,250, Export Incentives ₹ 85, Other Income ₹ 106, Adjustment of Finished Stock (+) ₹ 95, Materials ₹ 634, Salaries ₹ 425, Overheads ₹ 101.8, Tax ₹ 52.6. The Value Added as per rules is (in lakh) ____________.

₹ 946 ₹ 796 ₹ 755 ₹ 688

(v) The following expenses were paid: Royalty ₹ 35,000, Job Charges ₹ 20,000, Special Design Charges ₹ 20,000, Software Development Charges related to Production ₹ 27,000, and Travelling Abroad for Training ₹ 25,000. The Direct Expenses as per CAS 10 is ____________.

₹ 92,000 ₹ 1,00,000 ₹ 1,02,000 ₹ 1,27,000

(vi) Operational Audit helps improve management by focusing on ____________.

Transaction-based analysis for Fraud Prevention Compliance of Rules Risk Identification, Process Improvement Budget Monitoring

(vii) The penalty paid to PF authorities is _____________ in Employee Cost.

Included Excluded Based on individual case Partly included

(viii) Which of the following appears only in Cost Records?

Profit on Sale of Assets Interest Received Loss on Sale of Assets Notional Interest on Capital

(ix) _____________ Analysis evaluates every resource declared in the industry.

Capacity Energy Productivity Efficiency

(x) Which of the following is NOT a professional misconduct in relation to Cost Accountants in Practice as per the Second Schedule of The CWA Act, 1959?

Fails to invite attention to any material departure from the generally accepted procedure of costing and pricing applicable to the circumstances. Does not exercise due diligence or is grossly negligent in the conduct of professional duties. Fails to report a material misstatement known to him/her to appear in a cost or pricing statement with which he/she is concerned in a professional capacity. Brings disrepute to the Profession or the Institute, whether or not related to his/her professional work.

Dec 2017 CMA Paper