QUESTION 1 (40 marks; 48 minutes)
PART A (10 marks) – Multiple-choice
Q Answer
A1 a. R78 000
A2 b. R1 136 000
A3 d. R67 650
A4 a. R33 000
A5 a. R30 000
PART B (20
marks) –
Multiple-
choice
Q Answer
B1 d
B2 b
B3 c
,B4 c
B5 a
B6 a
B7 c
B8 a
B9 c
B10 b
PART C (10
marks) –
True/False
Statement Answer
F – Prime costs
C1 exclude manufacturing
overheads.
T – Materials → WIP →
C2 Finished goods → Cost
of sales.
F – Cost of sales is
same under both
C3
systems; only timing
differs.
, T – FIFO gives same
C4 COGS under perpetual
or periodic.
F – Accurate hours are
C5 important in all
costing systems.
F – Gross profit differs
C6 under different cost
flow assumptions.
F – Perpetual system
debits Inventory
C7
account, not
Purchases account.
T – Management
C8 accounting applies to
all organisations.
T – Low labour
C9 turnover indicates
labour stability.
T – Mixed costs have
C10 both fixed and
variable elements.
PART A (10 marks) – Multiple-choice
Q Answer
A1 a. R78 000
A2 b. R1 136 000
A3 d. R67 650
A4 a. R33 000
A5 a. R30 000
PART B (20
marks) –
Multiple-
choice
Q Answer
B1 d
B2 b
B3 c
,B4 c
B5 a
B6 a
B7 c
B8 a
B9 c
B10 b
PART C (10
marks) –
True/False
Statement Answer
F – Prime costs
C1 exclude manufacturing
overheads.
T – Materials → WIP →
C2 Finished goods → Cost
of sales.
F – Cost of sales is
same under both
C3
systems; only timing
differs.
, T – FIFO gives same
C4 COGS under perpetual
or periodic.
F – Accurate hours are
C5 important in all
costing systems.
F – Gross profit differs
C6 under different cost
flow assumptions.
F – Perpetual system
debits Inventory
C7
account, not
Purchases account.
T – Management
C8 accounting applies to
all organisations.
T – Low labour
C9 turnover indicates
labour stability.
T – Mixed costs have
C10 both fixed and
variable elements.
