CA Inter Cost and Management Accounting MTP January 2025: Question Paper and Solutions

How to Prepare for CA Intermediate Cost and Management Accounting

Solving past MTPs, RTPs, and suggested answers from previous examination windows is essential to mastering time management under the time limit applicable to your exam paper. Review step-by-step working notes, legal case precedents, and accounting disclosures with instant 24/7 AI tutor assistance via CApex.

Question directory and available solutions

46 indexed questions. Open a question to read its full statement and available answer.

1. XYZ Manufacturing Ltd. is a mid-sized enterprise that has established a strong reputation in the field of precision engineering. The company…
2. A garment manufacturer has been producing and selling T-shirts exclusively for Indian market. His T-shirts are made of a specific material which is…
3. The rate of change in the composition of employee force over the average number of employees for the year is computed as 9% under ‘separation…
4. WHICH of the following item is not the cause of differences in Financial and Cost Accounts?
5. Mefttal Ltd. is currently operating at 60% of its total capacity which is 1.5 times than the previous year. The total capacity of the company is…
6. Parth Ltd. operates in insurance business. Previous Year, the company launched a new term insurance policy called ‘Max Jivan' and incurred the…
7. RN Ltd. manufactures two primary products, P¹ and P2, through a joint process and a by-product, R12, is produced spontaneously. The relationship…
8. Petro Ltd. is a petroleum refining company which uses cracking process for producing gasoline, diesel and Heavy fuel oil (HFO). All three final…
9. The following information have been extracted from the cost records of a manufacturing company: StoresOpening balance - 9,000Purchases -…
10. The management of a company wants to formulate an incentive plan for the workers with a view to increase productivity. The following particulars…
11. Baba Ltd. belongs to an automotive industry, manufacturing hybrid bicycles. The production of bicycles passes through three departments, viz. X1,…
12. Luxz Ltd. is into luxury pens business manufacturing 120 pens in a batch. To process a single batch of 120 pens, company needs to incur following…
13. Following information is available from the books of YSPP Ltd. for the current year ending 31st March: S. No. Particulars (₹) (i) Raw materials…
14. Following information is extracted from the purchase department of A Ltd.: (i) Number of units to be purchased during the year is 10,000 (ii) Cost…
15. Xtyle Ltd. is a leading manufacturer in the textile industry, renowned for its commitment to quality and innovation. With decades of experience, the…
16. The following information relates to Anu Limited, a AI enabled toy manufacturing company: The selling price of a toy is 3,000, and sales are made on…
17. Hawtt Veel is a renowned brand of HV Ltd. which manufactures toy car. The manufacturing process of the toy cars at first involve designing the…
18. EXPLAIN the Usefulness/Suitability of ABC.
19. Cost and Management Accounting information is used by different stakeholders. The users of the information can be broadly categorised into internal…
20. EXPLAIN the Methods for ascertaining Service Cost Unit.
21. Despite the many benefits of Budgetary Control System, it does have its own limitations. DISCUSS those limitations.
22. IDENTIFY the method of costing in the following cases and give one example of industry where this method is followed: (i) Cost of each job is…
23. A truck driver, named Raju, owns a truck which can carry 5 tonne of material at a time. Raju has no other truck and he has listed himself with…
24. eSalt is the biggest producer of sodium hydroxide in India. This main product of the company has a strong reactivity with other organic compounds.…
25. Mr. Ben is paid higher wages than Mr. Akon. Though their normal wage rate is same, Mr. Ben gets higher payment as under Halsey system than that to…
26. WHICH of the following is the correct journal entry as would appear in the cost books when there is under recovery of overheads?
27. Due to sudden rise in demand of the product, the sales of Arrow Ltd. for current year enhanced to 3 times the average of last 4 years. The Break…
28. Due to technical and economical reasons, F8 Ltd. manufactures in batch. The latest contract requires the company to supply 9,000 bushings per month…
29. The Budgeted fixed overhead for the month of August was - 75,00,000 with the units of production estimated at 15,000. However, the actual units…
30. Shanu Ltd has calculated a predetermined overhead rate of 22 per machine hour for its Quality Check (QC) department. This rate has been calculated…
31. Following standards have been set for manufacturing a product ‘XYZ': Direct Material: (₹) 4 units of X @8 per unit 32.00 6 units of Y @6 per unit…
32. Shivi is working by employing 10 skilled workers. It is considering the introduction of some incentive scheme – either Halsey scheme (with 50%…
33. XYZ Constructions is a leading engineering and construction company providing a range of infrastructure and industrial services. Recently, they have…
34. "Calculation of variances in standard costing is not an end in itself, but a means to an end." DISCUSS.
35. The following are the details in respect of Process A and Process B of a processing factory: Process A (₹) Process B (₹) Materials 40,000 Labour…
36. From the following data CALCULATE (i) Administration cost, (ii) Selling cost and (iii) Distribution cost: Amount (₹) (i) Rent paid for factory…
37. STI is majorly providing education loan in its loan department. For the month of August, salary paid to the education loan processors is 21,60,000.…
38. Following information is available from the purchase books of a company: Cost of placing a purchase order - 10,000Number of units to be purchased…
39. Idle time is the time during which no production is carried-out because the worker remains idle but are paid. It can be normal or abnormal. LIST OUT…
40. Following information is available as per the cost accounts of a company for the year ended 31st March: Particulars Amount (₹) Profit 7,77,150…
41. A Korean beverage company plans to set up a subsidiary in India to manufacture fruit juice. Based on projected annual sales of 40,000 bottles, cost…
42. C Ltd. manufactures two products using two types of materials and one grade of labour. Shown below is an extract from the company's working papers…
43. As a consultant hired by a manufacturing company, HOW would you go about assessing the critical factors for designing and implementing a cost…
44. As a consultant, a client has approached you to set up a budgetary control system in their organization. WHAT sequential steps would you follow to…
45. You are managing the inventory for a manufacturing company and notice that certain items in the store are not being utilized frequently, leading to…
46. DISCUSS in brief three main methods of allocating support departments costs to operating departments.