Multiple Choice Questions on In case of Job costing Factory overhead absorption rate will be ........ for SEBI Grade A ( Officer) Exam Preparation

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Multiple Choice Questions

In case of Job costing Factory overhead absorption rate will be ........

Costing - Phase (I & II) Methods of Costing
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    In case of Job costing Factory overhead absorption rate will be:

    Factory overheads/ Works cost   x 100

    Incorrect Answer

    Factory overheads/ Direct Labour cost   x 100

    Correct Answer

    Factory overheads/ Direct Material Cost   x 100

    Incorrect Answer

    Factory overheads/ Prime Cost   x 100

    Incorrect Answer
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    Explanation:

    In Job costing, factory overhead rate will be:

    Factory overheads/ Direct Labour cost   x 100

    By: Vikas Goyal
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