MGT402 Quiz 2 by HB

Q1. Gross Pay - Statutory deductions - Non-statutory deduction = ?

1. Commission earned
2. Net Pay
3. Income Tax
4. Basic Pay

Q2. Which of the following is CORRECT to compute Capacity Variance?

1. Applied factory overhead (FOH) cost ÷ Estimated FOH cost
2. Applied factory overhead (FOH) cost + Estimated FOH cost
3. Applied factory overhead (FOH) cost x Estimated FOH cost
4. Applied factory overhead (FOH) cost - Estimated

FOH cost

Q3. Factory overhead absorption rate = ?

1. Fixed overhead rate + variable overhead rate
2. Fixed overhead rate ÷ variable overhead rate
3. Fixed overhead rate - variable overhead rate
4. Fixed overhead rate x variable overhead rate

Q4. The time worked over and above the employee's basic working week is called as:

1. Overtime
2. Commission
3. Flex time
4. Shift allowance
5. Suppose that a worker is paid Rs. 100 per hour and he has spent 200 hours to manufacture 250 pieces during a particular month. Keeping in view the time-based wage system, total wages of worker would be:

1. Rs. 25000
2. Rs. 20,000
3. Rs. 50,000
4. None of the given options

6. Wage rate per hour= Rs. 62.50

Halsey Premium Plan.

a. None of the given options · b. Rs. 875 · c. Rs. 125 · d. Rs. 750

Q7. Which of the following formula is used to compute gross wages under Halsey Premium Plan?

1. Gross Wages = (Time worked x wage rate) + ½

(Time saved x wage rate)

b. Gross Wages = (Time saved x wage rate) + ½ (Time saved x wage rate)

c. Gross Wages = (Time worked x wage rate) - ½ (Time saved x wage rate)

d. Gross Wages = (Time saved x wage rate) + ½ (Time saved x wage rate)

8. Budgeted variable overhead: Rs 90,000; Budgeted activity level: 30,000 direct labor hours; Fixed factory overhead cost: Rs. 60,000; Actual activity level: 35,000 direct labor hours; Actual variable FOH cost: Rs. 120,000.

Variable overhead rate: ?

1. Rs. 3 per direct labor hour
2. None of the given options
3. Rs. 5 per direct labor hour
4. Rs. 2 per direct labor hour

Q9. Which of the given equation is CORRECT?

1. Take home pay = Gross pay - Income tax + Subscriptions to a trade union - Contributions by the employee to a pension scheme.
2. Take home pay = Gross pay - Income tax - Subscriptions to a trade union + Contributions by the employee to a pension scheme.
3. Take home pay = Gross pay + Income tax - Subscriptions to a trade union - Contributions by the employee to a pension scheme.
4. Take home pay = Gross pay - Income tax - Subscriptions to a trade union - Contributions by

the employee to a pension scheme.

10.