For which of the following would job costing be most appropriate?
A. Hospital
Bespoke kitchen cabinet maker
C. Mug and plate manufacturer
D. Restaurant
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Which TWO of these statements relating to cost control for a specialist job are TRUE?
A. Underestimating the amount of labour required doesn’t affect the cost.
B. If too much material is bought for a specialist job it can be used elsewhere.
C. If overtime is required by the job it will increase the cost
D. All of the equipment rental that is needed is charged to the job
Which TWO of the following are examples of items that would be included in the cash flow of a business?
A. Sale of property
B. Depreciation
C. Transfer of money from the current account into a deposit account
D. Purchase of a photocopier
How would you describe an organisation that has positive cash flow on operations and financing activities, and negative cash flow relating to investment activities?
A. The company is using cash from operations and from borrowing (or from owner investment) to expand
B. The company is using cash from operations and from sale of non-current assets to pay down debt or pay stockholders
C. The company is financing operating cash flow shortages and payments to payables and/or stockholders via sale of non-current assets
D. The company is using cash generated from operations and from the sale of assets and from financing to build up a pile of cash
Which TWO of the following are functions of a Treasury department?
A. New borrowing
Bill payment
C. Foreign currency
D. Human resource allocation
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