03-13-2006, 05:36 PM
General Comments-
As far as the "Paper<D12> COST ACCOUNTING (CAC)" is concerned, I think that it was a quite difficult-cum-easy paper, but was attemptable within 3 hours easily. By the way, ICAP has also started to set some difficult questions upto a certain marks level & then onwards-easy questions. Some KEY/CORE questions may or may not be there. As a whole, it was an un-expected one. In this paper, topics like "Accouning for Labour, Accounting for Overheads/FOHs, Process Costing-CPR (American Approach), Marginal & Absorption Costing Techniques, Budgeting" were absolutely ignored. Generally, "Costing for Decision-Making" was given an undue weightage.
Question-wise comments are as follows;
Q-1
(a) (Marks-6)
An easy question was set on the "Cost Classification"; Functional Classification of Costs (Manufacturing/Production Costs, Selling & Distribution Costs, Administration Costs.)
(b) (Marks-4)
A simple theoretical question on "Joint & By-Products & the differences b/w their cost accounting treatments" was set.
Q-2 (Marks-10)
A little bit tricky question on "Economic Order Quantity (EOQ)" was set. Most of the examinees were confused about the computation of costs at discount prices (Rs. 156.40/- etc), holding/carrying costs.
Q-3 (Marks-10)
An easy question on "Cost Bookkeeping & Control Accounts, Cost Cycle/Cost Flow" was set, having reasonable weightage of marks.
Q-4 (Marks-10)
A little bit tricky question on "Short-Term Decision Making; Make or Buy Decisions" was set. It was a bit technical question.
Q-5 (Marks-12)
A detailed & lengthy question on "Multi-Process Production System" (British Approach) was set, which also includes a treatment of by-product, which was extracted as a residue at the end of Process-3, having some scrap value. Less marks were allocated to such time-consuming question.
Q-6 (Marks-25)
This question on "Relevant Costing & Decision-Making with Limiting Factors/Acceptance of Alternatives" is considered to be the most difficult question of the paper. On one side, it was a difficult-cum-technical question, on the other hand it covers almost the 25% marks of the paper. The information was scattered, & more than one decision-options (e.g; discontinuation of a product, additional advertising costs etc) were included.
Q-7 (Marks-10)
A good question on "Breakeven/CVP Analysis", but it requireq technical calculations to compute fixed & variable costs portions for accurate cost estimations.
Q-8 (Marks-13)
One of the easiest questions on "Standard Costing & Basic Variance Analysis" was set. It required to compute the basic various "Materials Cost Variances"; price, usage, mix & yield (or blend) variances. Marks allocated were also reasonable.
«·´`·.(*·.¸(`·.¸ ¸.·´)¸.·*).·´`·»
«.......... A D N A N ...............»
«·´`·.(¸.·*(¸.·´ `·.¸)*·.¸).·´`·»
[email protected]
As far as the "Paper<D12> COST ACCOUNTING (CAC)" is concerned, I think that it was a quite difficult-cum-easy paper, but was attemptable within 3 hours easily. By the way, ICAP has also started to set some difficult questions upto a certain marks level & then onwards-easy questions. Some KEY/CORE questions may or may not be there. As a whole, it was an un-expected one. In this paper, topics like "Accouning for Labour, Accounting for Overheads/FOHs, Process Costing-CPR (American Approach), Marginal & Absorption Costing Techniques, Budgeting" were absolutely ignored. Generally, "Costing for Decision-Making" was given an undue weightage.
Question-wise comments are as follows;
Q-1
(a) (Marks-6)
An easy question was set on the "Cost Classification"; Functional Classification of Costs (Manufacturing/Production Costs, Selling & Distribution Costs, Administration Costs.)
(b) (Marks-4)
A simple theoretical question on "Joint & By-Products & the differences b/w their cost accounting treatments" was set.
Q-2 (Marks-10)
A little bit tricky question on "Economic Order Quantity (EOQ)" was set. Most of the examinees were confused about the computation of costs at discount prices (Rs. 156.40/- etc), holding/carrying costs.
Q-3 (Marks-10)
An easy question on "Cost Bookkeeping & Control Accounts, Cost Cycle/Cost Flow" was set, having reasonable weightage of marks.
Q-4 (Marks-10)
A little bit tricky question on "Short-Term Decision Making; Make or Buy Decisions" was set. It was a bit technical question.
Q-5 (Marks-12)
A detailed & lengthy question on "Multi-Process Production System" (British Approach) was set, which also includes a treatment of by-product, which was extracted as a residue at the end of Process-3, having some scrap value. Less marks were allocated to such time-consuming question.
Q-6 (Marks-25)
This question on "Relevant Costing & Decision-Making with Limiting Factors/Acceptance of Alternatives" is considered to be the most difficult question of the paper. On one side, it was a difficult-cum-technical question, on the other hand it covers almost the 25% marks of the paper. The information was scattered, & more than one decision-options (e.g; discontinuation of a product, additional advertising costs etc) were included.
Q-7 (Marks-10)
A good question on "Breakeven/CVP Analysis", but it requireq technical calculations to compute fixed & variable costs portions for accurate cost estimations.
Q-8 (Marks-13)
One of the easiest questions on "Standard Costing & Basic Variance Analysis" was set. It required to compute the basic various "Materials Cost Variances"; price, usage, mix & yield (or blend) variances. Marks allocated were also reasonable.
«·´`·.(*·.¸(`·.¸ ¸.·´)¸.·*).·´`·»
«.......... A D N A N ...............»
«·´`·.(¸.·*(¸.·´ `·.¸)*·.¸).·´`·»
[email protected]
