1661. Expected annual usage of a particular raw material is 2,00,000 units and the economic order quantity is 10,000 units .The invoice cost of each unit is Rs,500 and the cost to place one order is Rs. 80 The average inventory is :

A. 1,00,000 Units
B. 5,000 Units *
C. 10,000 Units
D. 7,500 Units

1662. Taking the data in Q 3.21 Above, the estimated annual ordering cost is :

A. Rs, 1,600 *
B. Rs, 10,000
C. Rs. 3,200
D. Rs, 5,000

1663. One the basis of dat given in Q 3.21, number of orders to be placed in each year are :

A. 10
B. 50 *
C. 20
D. 100

1664. When material prices are showing a rising trend, which method of pricing will show lower cost of production :

A. FIFO *
B. LIFO
C. Weighted average
D. Replacement price

1665. In periods of rising prices, Which method of pricing shows higher stock values :

A. FIFO *
B. LIFO
C. Weighted average
D. Replacement price

1666. In which method, prices charged to production are at the current prices prevailing in the market :

A. FIFO
B. LIFO
C. Weighted average
D. Replacement price *

1667. When prices are showing a falling tendency , which method of pricing of material issues will show higher closing stock value :

A. FIFO
B. LIFO *
C. Weighted average
D. Replacement price

1668. It is referred to as “substandard production” when production cannot be improved without incurring additional costs.:

A. Defectives
B. Waste
C. Spoilage *
D. Scrap

1669. In which of the following incentive plans of wages payment, wages on time basis are not guaranteed ?

A. Halsey plan
B. Rowan plan
C. Taylor’s differential piece rate system *
D. Gantt’s task and bonus system

1670. Under the high wage plan, a worker is paid :

A. At an at once than the typical rate *
B. According to his efficiency
C. At a double rate for overtime
D. Normal wages plus bonus