Job, Batch and Process Costing
ICAN Management Information
12 Job, Batch and Process Costing practice questions covering everything you need for ICAN.
Drill Job, Batch and Process Costing →Sample Job, Batch and Process Costing questions
Eko Processors Limited operates a chemical manufacturing plant situated in Agbara Industrial Estate, Ogun State. The company uses a process costing system to account for its single main product, 'Ekoc…
QUESTION 2 Nigeria Biscuit Manufacturing Company (NBMC), located in Kano, produces three varieties of biscuits: Cream Crackers, Digestive Biscuits, and Chocolate Bites. Production is organised in bat…
QUESTION 1 Adekunle Furniture Works Limited, a Lagos-based furniture manufacturer, produces customised office furniture for corporate clients. The company operates a job costing system. During the mo…
QUESTION 3 Petrokem Chemicals Nigeria Limited operates a chemical processing plant in Port Harcourt, Rivers State. The company manufactures a liquid industrial solvent through two sequential processe…
Enugu Chemicals Ltd operates a continuous process. In April, 10,000 kg of raw material costing ₦2,500,000 were input. Labour and overhead costs totalled ₦1,200,000. Normal loss is 8% of input, with sc…
Which of the following statements CORRECTLY distinguishes job costing from batch costing?
Lagos Pharmaceuticals Ltd processes a drug through two sequential processes. Process 1 transfers output to Process 2. In Process 1 during March: input 5,000 litres at ₦400 per litre; conversion costs …
Abuja Printing House uses job costing. Its budgeted factory overhead for the year is ₦9,600,000 and budgeted direct labour hours are 40,000. Job No. 312 used 350 direct labour hours. Actual factory ov…
Port Harcourt Refineries Ltd processes crude oil. Opening work-in-progress (WIP) for March was 2,000 barrels (60% complete for conversion; materials 100% added at start). During March, 18,000 barrels …
Ibadan Breweries Plc uses process costing with a by-product. Process output consists of 90% main product and 10% by-product. Total process costs are ₦4,500,000. The by-product has a net realisable val…
In a process costing environment, normal loss is BEST described as:
Kano Textiles Plc uses batch costing. A batch of 2,000 metres of fabric incurs total production costs of ₦1,640,000. The batch is sold at a mark-up of 25% on cost. What is the selling price per metre?