CASH FLOW ANALYSIS (8)

1. _____________________ Statement reveals the inflow and outflow of

cash during a particular period
2. Cash flow statement is prepared on the basis of _____________ data
showing the inflow and outflow of cash
3. Cash flow statement takes into consideration only the changes in cash
position between two ___________ ______________
4. Increase in current liabilities and decrease in current asset will increase
________
5. Cash flow statement helps in ___________ financial decisions relating to
liquidity
6. Cash flow statement explains the reasons for _______ cash balance
7. ___________________ is an important tool of cash planning and control
8. cash flow statement shows the major _________ and ________ of cash
9. ____________ is the lifeblood of business
10. Cash from operation can be calculated by _____________ method and
_______________ method

FUND FLOW ANALYSIS (7)

1. The flow of fund will occur in a business when a transaction results in a
___________ in the amount of fund
2. Fund flow statement is also ______________________________
3. ______________________ is a technical device designed to highlight the
changes in the financial condition of a business enterprise between two
balance sheet
4. ________________ describes the sources from which additional funds
were derived and the uses to which these funds were put
5. Fund flow statement is also known as ____________________________
6. F.F.S points out the financial _______________ and _____________of
business
7. ___________ items are taken while preparing schedule of changes in
working capital
8. __________________ is prepared to know funds from/fund lost in
operation
9. According to __________________, the fund flow statement describes
the sources from which additional funds were derived and the uses to which
these funds were put
10. The term fund means _______________

STANDARD COSTING (12)

1. ______________ provides standards or yard sticks for comparing the
actual cost
2. __________________ is the projection of cost accounting
3. __________________ is the projection of financial accounting
4. ______________ are used for all functions of management (planning,
organizing, controlling)
5. Standard costing and budgetary costing are ________________ to each
other
6. _______________ cost is computed before actual production is commenced
7. The usefulness of standard costing depends on measurement and analysis of
______________
8. _______________ and ______________ are effective tools of
managerial planning and cost control
9. The standards for material include ________________________ and
material price standard
10. __________________ pre-determines the kind, quality and quantity of
materials to be used to produce a desired output
11. Material prices are influenced by external factors like ______________
and ___________________
12. __________________ is the difference between a standard cost and the
actual cost incurred during a period
13. Labor _______ variance = Rate Variance + Efficiency Variance
14. Overhead cost variance = Fixed overhead Variance + ______ overhead
variance
15. Material cost variance consist of usage variance and __________
_________________
16. A mix variance arises due to difference between __________ and
________ of different materials used in the actual mix
17. When actual cost is more than the standard cost is called ____________
18. _______________ is the heart of standard costing technique
19. The usefulness and effectiveness of the technique depends on the analysis
of variances
20. Fixed overhead variance consists of ________________ and
_____________
21. ______________ variance consists of calendar variance, capacity variance
and efficiency variance
22. Expenditure variance is also known as ______________ variance
23. Material ___________ variance is the difference between the actual
output and the output that could have obtained by using the actual input
24. Material cost variance = standard cost of materials - ____________ cost
of materials
25. _____________ ______________ standards refers to the standard time
to be taken for each of labor for each operation

BUDGETARY CONTROL (11)

1. _______________ is the target or the objective of each section of the
organization
2. ________________ is the process of preparing the budgets
3. _______________ is the technique and process of fixing the targets,
preparing the budgets and using them as an effective tool of planning and
control
4. Budgets lay down ____________ for the future and budgetary control
compares ____________ with the budgets and exercises control over
activities and cost of the organization
5. ________________ enables the identification of accountability of each
executive
6. _____________ limits the volume of output of an undertaking
7. It is rightly said that budget is a means and ___________ ___________
is the end result
8. _______________ or ______________ is the leader of the Committee
9. The period for which the budget is prepared and remains effective is called
____________________
10. On the basis of scope, budgets can be classified as ______________ and
____________
11. on the basis of efficiency, budgets can be classified as ______________
and ____________
12. on the basis of period, budgets can be classified as ______________ and
____________
13. Budget is a formal expression of ______________ income and expenditure
for a definite future period
14. Budgetary control creates awareness among the employees of their rights,
duties and responsibilities by ________________
15. The budgets relating to different functions of an undertaking are called
__________ ____________
16. ________________ is a consolidated summary of various functional
budgets
17. __________ is defined as a budget designed to change in accordance with
the level of activity actually attained
18. budgetary control facilitates ______________ by exception
19. ______________ creates conditions necessary for the adoption of a
system of standard costing
20. Excessive emphasis on budgetary control may lead to ________ competition
and _________ behavior among functional executives

MARGINAL COSTING AND BREAK-EVEN ANALYSIS (10)

1. ____________ ________ is developed to overcome the deficiencies of
absorption costing
2. In ________, both fixed and variable cots are charged to the products
manufactured
3. Marginal costing is defined as " The ascertainment of marginal costs and of
the effect on profit on changes in volume or type of output by differentiating
between ________ and ____________
4. Under marginal costing, only ___________ are charged to operations,
processes or products
5. Variable cost is also called as _________
6. The difference between selling price and marginal costing is called
__________
7. At ________ point, 'contribution' is equal to fixed costs
8. ______________ is the pictorial illustration of cost-volume-profit
9. Graphical representation of cost and revenue showing their inter relations at
different volumes of output is called as the ____________ __________
10. Break even chart shows the relation between _______ ______ and
_______
11. In a break even chart, the horizontal axis (X – axis) represents _________
and the vertical axis represents the ___________
12. The preparation of a Break even chart requires segregation of semi fixed
costs into _____________
13. The difference between sales and the break even sales is called
___________
14. Marginal cost = Prime cost + ___________________
15. Fixed costs do not vary directly with rate of output. Hence, they are called
_______________
16. The relation of contribution to sales is called ________ ratio
17. Variance
18. The term marginal costing is the gift of _____________
19. Break even point represents that volume of sales or production when there is
no profit or loss
20. __________ _________ helps in finding out effects or profits, due to
changes in volume or type of output
21. The difference between selling price and marginal cost ( variable cost) is
called _____________
22. Marginal cost = Total _____________ overheads
23. Variable cost is also known as __________________
24. Fixed cost is also known as ___________________
25. Total variable cost increases with the increase in __________
26. variable cost per unit remains ____________ at different levels of output
27. closing stock is valued at _______________ cost only
28. Fixed cost is not charged to finished stock or work in progress as it is
treated as __________ cost
29. _____ cost per unit go on changing per unit with every increase in production
30. Contribution = sales - ____________
31. Break even chart illustrates the impact of ___________ in fixed cost and
variable cost on profit
32. __________________ Analysis is popularly known as cost-volume-profit
relationship
33. Price may be below the total cost in special circumstances like
_____________ , _____________,_____________,______________
34. Under marginal costing, all elements of costs are classified according to their
characteristics of variability as __________, __________ and _________
costs
35. A basic assumption in marginal costing is that selling price remains constant a
different levels of _____________
 UNDERSTANDING COST (9)
1. ___________________ provides information relating to total cost
and cost per unit at different stages of production
2. A typical cost sheet shows the total cost of __________ only
3. A cost sheet with sales and profit data is called __________
4. The elements of cost exhibited in a cost sheet are basically to
facilitate the process of _____________
5. ICMA stands for ____________ _____________ __________ ___
6. Expenses include all _________ costs which are deductible from
revenues
7. Losses are __________ in firm's equity for which no compensating
value has been received
8. ______________ is the process of grouping costs according to their
common characteristics
9. on the basis of elements, costs are classified as ________ costs,
________ costs and __________
10. on the basis of traceability, costs are classified as ________ costs
and __________ costs
11. on the basis of functions, costs are classified as __________,
________, _____________
12. on the basis of variability, costs are classified as _______,
____________ and semi -fixed ( or semi- variable) costs
13. on the basis of controllability, costs are classified as _____________
and _______________
14. On the basis of normality, costs are classified as _____________
costs and ______________
15. Some important costs for ________purpose (decision-making purpose)
are opportunity cost, relevant costs, incremental costs, differential
cost, average cost, sunk cost, imputed costs and out of pocket costs
16. A statement in which different elements of costs are arranged in a
logical order relating to a given period is called ______ ___________
17. A cost sheet with sales and profit data is called an ______________
cost sheet
18. In cost sheet, the first part shows the __________________and the
second part shows the selling and distribution expenses, total
___________ and the profit or loss
19. Direct material + Direct labor + direct expenses = _________ cost
20. Prime cost + factory overhead = _______________
21. Factory cost + office and administration overhead = ______________
22. Production cost + selling and distribution overheads = _____________
23. _____________ charges are those which do not involve cash outlays
24. cost of land supplied free of charge by the proprietor of the business
is an example of _____________ charge
25. Notional charges are _____ entered in the books of accounts
26. The amount of expenditure incurred on , or attributable to a specified
thing or activity is termed as _______ (ICMA Definition)
27. _________cost is defined as the cost of commodities supplied to an
undertaking
28. ____________ cost means the cost of remuneration of the employees
of an undertaking
29. ___________ are the cost of services provided to an undertaking and
the notional cost of the use of owned assets
30. Costs which are clearly , conveniently and economically identifiable to a
costing centre or cost unit are called ___________ cost
31. Example of direct cost are ___________ and ___________ cost
32. costs which are either difficult or impossible to trace to a single
product are called ___________ cost
33. Example of indirect cost are ________________
34. cost incurred to manufacture the product are called _____________
cost
35. cost incurred for managing the enterprise are called _____________
cost
36. cost incurred for creating demand and meeting the orders are called
_______________ cost
37. Fixed cost is also known as _______________ or _______________
or _________________
38. Fixed cost depends on passage of ________
39. ___________ cost which does not change in total amount for a given
period of time in spite of changes in quantity of output or volume of
activity
40. Fixed cost changes when ____________ of activity changes beyond
the specified range
41. ___________ may increase the fixed cost and ___________ may
reduce the fixed cost
42. Fixed cost per unit of output changes with change in ____________
of output
43. Variable cost per unit remains constant in a given period of time
44. _______________ cost is one which in the aggregate varies in direct
proportion to the volume of production
45. Total variable cost change in proportion with change in volume of
__________
46. Variable costs are called _______________ costs as they are incurred
because products are manufactured
47. Direct material and direct labor are example of __________cost
48. ___________________ have both fixed and variable elements(semi-
variable costs)
49. Semi fixed cost are also called ______________ or step costs
50. Semi fixed cost remain constant up to certain level of output and after
that level they become variable
51. Telephone expenses is an example of _____________ cost
52. Labor cost where guarantee time wage is paid along with the incentive
based on efficiency is an example of _______________ cost
53. __________cost is basically variable , but its degree of variable changes
suddenly when a certain level of output is reached
54. _______________ Cost remains constant for given volume of output and at
a higher level of output it increases in a fixed amount.
55. Relationship between variable cost and output can be shown as a straight
line, it is called ___________ variable cost
56. Relationship between variable cost and output can be shown as a curved line,
it is called as a ___________ variable cost
57. Where each extra unit of output causes a less than proportionate increase in
cost, it is called _______________linear variable cost
58. Where each extra unit of output causes a more than proportionate increase
in cost, it is called _____________ linear variable cost
59. A cost which can be influenced by the action of a specified member of an
undertaking is known as _________________ cost
60. _____________ are defined as those that are definitely influenced by a
given manager with in a given time span
61. some examples of controllable costs are ________________,___________
62. Variable cost vary with output but they need not always be _____________
63. All variable costs need not be ____________,All controllable Cost need not
be___________ _____________
64. All Controllable costs are ____________ costs. However, all direct _______
are not controllable
65. A cost which cannot be influenced by the action of a specified member of an
undertaking is known as _________________ cost
66. Majority of fixed costs are considered as __________________ costs.
However , all fixed costs need not be non controllable costs
67. The controllability of an item of cost would depend on (1) the level of
managerial responsibility (2) the time factor involved
68. Cost which is normally incurred at a given level of output under normal
conditions of operations is called ___________ cost
69. ____________ cost are those which are normally incurred at a given level of
output
70. Abnormal costs are not charged to the cost of ___________ but
transferred to __________________account
71. ___________ refers to cost of selection of one alternative course of
action in terms of other alternatives given up to carry out that course of
action
72. ___________ refers to the benefits lost by rejecting an alternative course
of action
73. ___________ cost are defined as future cost which differ between
alternatives
74. There are certain elements of costs in each alternative, which remain the
same and not affected by the decision whatever alternative is chosen. Such
costs are called _________________ costs
75. Relevant cost are not historic costs which are already been incurred
76. Relevant cost are additional or __________ costs
77. ______________ cost refers to an increase in cost from one alternative to
another
78. ____________________ refers to the difference in total cost between
two alternatives
79. Differential cost includes both ________________ cost(cost increase) and
_____________ cost( cost decrease)
80. ______________ cost helps in evaluating the profitability of alternative
proposals
81. ________________cost helps the management in knowing the additional
profit and additional cost of different proposals
82. ________________ cost means the cost per unit.
83. In average cost, ___________ cost is divided by related unit of
output/hours of work/volume of service/number of employees
84. Intelligence decisions require the knowledge of both total cost and
____________ costs
85. ___________ cost is the cost that has been either already incurred or is
yet to be incurred
86. ____________ cost refers to cost which has no economic reference to the
present decision making process
87. ______________ cost are not actually incurred and do not involve cash
outlay but are relevant in decision making
88. Rental value of the property owned by the enterprise is an example of
_______________ cost
89. Out of pocket cost refers to _________ cost associated with an activity
90. _______________ like depreciation are not included in out of pocket costs
91. A statement of which different elements of costs are arranged in a logical
order relating to a given period is called ___________ sheet
92. ______________ material cost refers to the cost of materials which
became a major part of finished product
93. All expenses incurred in acquiring the direct material are added to the invoice
price of the __________ materials e.g. import duties, carriage inward
94. Direct material of small value is treated as ____________ indirect material
95. Direct _________ cost refers to that cost which can be identified with, and
allocated to cost centre or cost units
96. Any expenditure other than direct material and direct labour , directly
incurred on a specific period is called __________ expenses
97. ___________ expenses can be identified with and allocated to cost centre
or cost unit
98. Direct expenses are also known as _____________ expenses
99. ________________ overheads includes costs of planning and controlling the
policies and operations of a business enterprise
100.__________ overheads includes indirect materials, indirect labour amd
other indirect expenses
101.Materials that are used in small amount in the manufacturing process or that
cannot be allocated to specific products are called _________ materials e.g
thread used in sewing a shirt
102.Factory personnel who do not work directly on materials are ___________
labour e.g the wages and salaries of store keeper
103.__________ overheads covers the cost of making sales. It includes
expenses of creating new demand and retaining existing demand
104.____________ overheads includes the cost of delivering or dispatching
products
105.The important methods of valuing the W-I-P are _____________ basis,
factory cost basis, and element of cost basis
106.Items of income or expenses of purely financial nature do not form the part
of the costs
107._______________ items are not recorded in the cost sheet e.g.debenture
interest, interest received
108.Direct material + direct wages + direct expenses + opening W.I.P –closing
W.I.P = ______________ cost
109.Prime cost + factory overhead + opening W.I.P – closing W.I.P=______cost
110.