QUIZ ON COSTING,

ACCOUNTING & FINANCE

MODULE
AFTERSCHOOOL – DEVELOPING CHANGE
MAKERS
CENTRE FOR SOCIAL ENTREPRENEURSHIP
PGPSE PROGRAMME –
World’ Most Comprehensive programme in social
entrepreneurship & spiritual entrepreneurship
OPEN FOR ALL FREE FOR ALL

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 QUIZ ON COSTING,
ACCOUNTING & FINANCE
MODULE
Dr. T.K. Jain.
AFTERSCHOOOL
Centre for social entrepreneurship
Bikaner
M: 9414430763
tkjainbkn@yahoo.co.in
www.afterschool.tk
www.afterschoool.tk

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WHAT IS UNIFORM COSTING?
 WHEN SAME TYPE OF COSTING IS
ADOPTED BY ALL THE COMPANIES
IN AN INDUSTRY – IT IS CALLED
UNIFORM COSTING.

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WHAT IS RELEVANT COST?
 ITIS COMBINATION OF ACQUISITION
COST + CARRYING COST.

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WHAT IS AVERAGE STOCK?
 (OPENING STOCK+CLOSING STOCK)
/2

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WHAT IS HIFO?
 HIGHEST IN FIRST OUT (JUST LIKE
FIFO, LIFE,)

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WHAT IS NIFO?
 NEXT IN FIRST OUT

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WHAT IS SUNK COST?
 COST ALREADY INCURRED IS
CALLED SUNK COST?

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WHAT IS NOTIONAL COST?
 IMPUTED COSTS, WHICH ARE NOT
MEANT TO BE SPENT = ARE CALLED
NOTIONAL COST = FOR EXAMPLE
SALARY OF ENTREPRENEUR

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WHAT IS HISTORICAL COST?
 THE COST ALREADY INCURRED IS
CALLED HISTORICAL COST.

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WHAT IS STANDARD COST?
 THETARGETTED LEVEL OF COST =
WHICH HAS BEEN PREDETERMINED
BASED ON STANDARDS IS CALLED
STANDARD COST. IT HELPS US IN
COST CONTROL AND IN
COMPARISON.

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WHAT IS PREVENTIVE COST?
 THESE COSTS ARE INCURRED IN
ORDER TO KEEP THE WORKERS
SATISFIED AND THUS TO RETAIN
THEM = THESE INCLUDE PENSIONS,
GRATUITY SCHEMES, WELFARE
SCHEMES ETC.

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WHAT IS REPLACEMENT COST?
 COSTS INCLUDING COSTS IN
TRAINING NEW WORKERS, COSTS IN
REPLACING MACHINES, COSTS IN
INSTALLING NEW MACHINES ETC.

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WHAT IS FLUX METHOD OF
CALCULATING LABOUR TURNOVER?
 LABOUR TURNOVER MEANS
NUMBER OF WORKERS LEAVING
YOUR FACTORY.
 FORMULAE : (NO. OF EMPLOYEES
SEPARATED+REPLACED + NEW
RECRUITS) / AVG. NO OF
EMPLOYEES ON PANEL

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WHAT IS APPORTIONMENT?
 WHEN OVERHEAD EXPENSES ARE
DISTRIBUTED BETWEEN VARIOUS
DEPARTMENTS ON SUITABLE BASIS,
IT IS CALLED APPORTIONMENT.

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WHAT IS ABSORPTION?
 WHEN WE TRY CHARGE OVERHEAD
ON SOME LOGICAL BASIS = IT IS
CALLED ABSORPTION
 FORMULAE = EXPECTED OVERHEAD
/ EXPECTED OVERHEAD

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WHAT IS REAPPORTIONMENT?
 FIRST OVERHEADS ARE
ALLOCATED, THEN APPORTIONED
AND THEN REAPPORTIONED.
 IN REAPPORTIONMENT, WE CHARGE
OVERHEADS OF SERVICE DEPTT. TO
OTHER DEPARTMENTS
( PRODUCTION DEPARTMENTS).

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Mat erial: 2510 00,la bour
500 000,s ala ry 8000 0, li fe of
mac hine 7 y ears, cos t o f
mac hine 3 la kh, a dmn. E xps .
100 000, clos ing s tock 3 0000,
con tract p rice 20 l akh, 2/ 3 work
com pleted, amt. r eceiv ed 7. 5
lak
 hs, cert ifica te 
o f 5 0% work
com pletion has been obtained .
Fin d notiona l profit ?

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Solution – make contract a/c
 Mat = 251000  Cl stock 30000
 Lab. 500000  (works cost is
 Salary 80000 943857)
 Admn 100000  Work certified
1000000
 Dep 42857
 Work uncertified
 Notional profit
 415786
 =471929 answer.

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Answer continued ..
 Notional profit is Rs. 471929, out of
which only ½ is yet realised (as it has
been certified), therefore ½ of it will
go to P& L account and remaining will
be put as notional profit.

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Who maintains bin card system –
which is used for stock
management?
 STORES DEPARTMENT

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AVERAGE WEEKLY CONSUMPTION
IS 28 UNITS, LEAD TIME IS 5 WEEK,
WHAT SHOULD BE REORDER
LEVEL?
= 28 *5 = 140 UNITS

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WHAT IS NORMAL / ABNORMAL
LOSS IN GOODS?
 There are many types of losses in
materials, which are considered normal /
abnormal losses.
 Normal loss includes pilferage,
shortages, and normal depletion
 Abnormal loss include fire, theft,
accident, etc.

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What is bin card?
 Detailsout the material = their quantity,
when issued, what is left out etc.

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We make A & B. Sales of A 100
@ 60 per bag. Sales of B 120 @
30 per bag. Joint costs Rs. 4400,
fixed costs 3900. divide these
costs between A & B and find
out their costs & profits.
 We apportion marginal cost on the
basis of units = 4400 *100/220 = 2000
for A & 2400 for B. A’s contribution is
4000 and B’s contribution is 1200.
thus, We use contribution margin
ratio to divide fixed cost, which are
3000 & 900, profit A=1000, B = 300
answer.
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Answer continueeddd..
 Basic forumlae
 = sales – variable cost = contribtion

 Contribution – fixed cost = profit

 Variable cost has been divided on the

basis of quantity of production.
 Fixed cost has been distributed on the
basis of contribution margins.

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 ABO UT A FTERSCH OOO L
Afterschoool conducts three year integrated PGPSE (after
class 12th along with IAS / CA / CS) and 18 month PGPSE
(Post Graduate Programme in Social Entrepreneurship)
along with preparation for CS / CFP / CFA /CMA / FRM. This
course is also available online also. It also conducts
workshops on social entrepreneurship in schools and
colleges all over India – start social entrepreneurship club in
your institution today with the help from afterschoool and help
us in developing society.

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Why such a programme?
 To promote people to take up entrepreneurship
and help develop the society
 To enable people to take up franchising and
other such options to start a business / social
development project
 To enable people to take up social
development as their mission
 To enable people to promote spirituality and
positive thinking in the world

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Who are our supporters?
 Afterschoolians, our past beneficiaries,
entrepreneurs and social entrepreneurs
are supporting us.
 You can also support us – not
necessarily by money – but by being
promotor of our concept and our ideas.

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About AFTERSCHOOOL PGPSE – the best
programme for developing great entrepreneurs

 Most flexible, adaptive but rigorous programme

 Available in distance learning mode
 Case study focused- latest cases
 Industry oriented practical curriculum
 Designed to make you entrepreneurs – not just
an employee
 Option to take up part time job – so earn while
you learn
 The only absolutely free course on internet
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Workshops from
AFTERSCHOOOL
 IIF, Delhi
 CIPS, Jaipur
 ICSI Hyderabad Branch
 Gyan Vihar, Jaipur
 Apex Institute of Management, Jaipur
 Aravali Institute of Management, Jodhpur
 Xavier Institute of Management,
Bhubaneshwar
 Pacific Institute, Udaipur
 Engineering College, Hyderabad

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Flexible Specialisations:
 Spiritualising business and society
 Rural development and transformation
 HRD and Education, Social Development
 NGO and voluntary work
 Investment analysis,microfinance and inclusion
 Retail sector, BPO, KPO
 Accounting & Information system (with CA / CS /CMA)
 Hospital management and Health care
 Hospitality sector and culture and heritage
 Other sectors of high growth, high technology and social
relevance

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Salient features:
 The only programme of its kind (in the whole world)
 No publicity and low profile course
 For those who want to achieve success in life – not just a
degree
 Indepth knowledge and expertise
 Professional approac: World class approach
 Strong intellectual and business capabilities
 Flexible – you may stay for a month and continue the rest of
the education by distance mode. / you may attend weekend
classes
 Scholarships for those from poor economic background
 Latest and constantly changing curriculum – keeping pace
with the time
 Placement for those who are interested
 Admissions open throughout the year
 Latest and most advanced technologies, books and study
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material
Components
 Pedagogy curriculum and approach based on IIM Ahmedabad and ISB
Hyderabad (the founder is alumnus from IIMA & ISB Hyderabad)
 Meditation, spiritualisation, and self development
 Essential softwares for business
 Business plan, Research projects
 Participation in conferences / seminars
 Workshops on leadership, team building etc.
 Written submissions of research projects/articles / papers
 Interview of entrepreneurs, writing biographies of entrepreneurs
 Editing of journals / newsletters
 Consultancy / research projects
 Assignments, communication skill workshops
 Participation in conferences and seminars
 Group discussions, mock interviews, self development diaryng
 Mind Power Training & writing workshop (by Dr. T.K.Jain)

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Pedagogy
 Case analysis,
 Articles from Harvard Business Review
 Quiz, seminars, workshops, games,
 Visits to entrepreneurs and industrial visits
 Presentations, Latest audio-visuals
 Group discussions and group projects
 Periodic self assessment
 Mentoring and counselling
 Study exchange programme (with institutions out of India)
 Rural development / Social welfare projects

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Branches
 AFTERSCHOOOL will shortly open its
branches in important cities in India
including Delhi, Kota, Mumbai, Gurgaon
and other important cities.
Afterschooolians will be responsible for
managing and developing these
branches – and for promoting social
entrepreneurs.

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Case Studies
 We want to write case studies on social
entrepreneurs, first generation
entrepreneurs, ethical entrepreneurs.
Please help us in this process. Help us
to be in touch with entrepreneurs, so that
we may develop entrepreneurs.

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Basic values at afterschoool
 Share to learn more
 Interact to develop yourself
 Fear is your worst enemy
 Make mistakes to learn
 Study & discuss in a group
 Criticism is the healthy route to mutual support
and help
 Ask fundamental questions : why, when, how
& where?
 Embrace change – and compete with yourself
only
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www.afterschoool.tk
social entrepreneurship for better
society

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