CA Inter Cost and Management Accounting MTP January 2026: Question Paper and Solutions

How to Prepare for CA Intermediate Cost and Management Accounting

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Question directory and available solutions

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

1. A company deals in manufacturing and selling hand sanitizers since 1998. Due to it's reputation company never really required any innovative selling…
2. Aroma Beverages Ltd. is a growing beverage company that produces and sells four varieties of tea-based drinks. The company operates across major…
3. A company observes that the consumption of raw materials varies between 300 units and 900 units per week. The lead time ranges from 3 weeks to 7…
4. The standard variable overhead cost of a product is 12, i.e. 6 hours at the rate of 2 per hour. In a certain month, it took 2,400 hours at a cost of…
5. For an input of 4,000 kg of material introduced in the process, the normal loss is 6%. If the actual production from the process is 3,700 kg, the…
6. Consider the following information: Market demand per month: 600 unitsSetting-up cost per batch:120Cost of manufacture per unit:30Rate of interest:…
7. The relevant data is as below: Time Rate (per hour):60Time allowed: 8 hoursTime taken: 6 hoursTime saved: 2 hours CALCULATE the earnings of a worker…
8. Assuming a man-day of 8 hours, you are required to CALCULATE the labour cost per man-day. The following data has been provided. (i) Basic Salary 80…
9. Your company uses a historical cost system and applies overheads on the basis of “pre-determined” rates. The following are the figure from the Trial…
10. Creamy Delights Ltd. is engaged in the production of Flavored Milk, Cheese, and Clarified Cheese Oil. It purchases processed milk cream and subjects…
11. VTR Tech Ltd is a precision engineering company that has experienced rapid automation in its production processes. The company now manufactures over…
12. Distinguish between Job Costing and Process Costing?
13. You are working as a Cost Analyst at TechMech Ltd., a company that manufactures Product-Y, a specialized industrial tool. The company uses standard…
14. A manufacturing company has disclosed a net loss of 3,15,000 as per their cost accounting records for the year ended March 31, 2025. However, their…
15. Golden Harvest Foods Pvt. Ltd. is engaged in the production of organic honey blocks. Its process involves crushing of honeycombs for nectar…
16. The yearly production of a company's product which has a steady market is 40,000 units. Each unit of a product requires 1 kg. of raw material. The…
17. Priyank Ltd. produces two types of bags — ‘Premium' and 'Standard'. The summarized cost data for the year ended 31 st March, 2025 is given below:…
18. A hotel is being run in a Hill station with 200 single rooms. The hotel offers concessional rates during six off-season (winter) months in a year.…
19. You are a cost accountant working with a consultancy that advises different types of businesses. A few clients have approached you seeking advice on…
20. "You are appointed as an inventory manager in a manufacturing firm. The company is facing problems of both overstocking and frequent stockouts,…
21. Show the basis of apportionment of following overhead cost: Overhead Cost Lighting and heating (conditioning), Fire precaution serviceTime keeping,…
22. Bharat Pharma Ltd was established three years ago by a group of biotechnology researchers to commercialize a new therapeutic drug they had created.…
23. The Greenfield Recreation Club, a well-known community hub in the city, has been operating for over 25 years. Besides sports facilities and hobby…
24. A manufacturing unit has budgeted standard hours of 15,000 for May 2025. During the month, the capacity utilisation ratio was 85%, while the…
25. The cost of placing each purchase order is 20, and the company plans to purchase 5,000 units during the year at a purchase price of 50 per unit,…
26. A worker receives the following monthly earnings: Basic Pay:12,000 per month Dearness Allowance (D.A.):4,000 per month Fringe Benefits:1,500 per…
27. A company manufactures Product A and Product B and uses Activity-Based Costing. The following activity data relates to the current month: Activity…
28. The following details are available for a job work: Material issued - 60,000; return to stores - 8,000 Dept A labour: 80 hrs @180/hr; OH rate = 120%…
29. A manufacturing company disclosed a net loss of 6,40,000 as per their cost accounts for the year ended 31st March, 2025. However, the financial…
30. A machine shop cost centre contains three machines of equal capacities. To operate these three machines nine operators are required i.e. three…
31. A Company manufactures a special product which requires a component 'Alpha'. The following particulars are collected for the year 2022-23: (i)…
32. Seema Ltd. is known for its two-stage production process, which is as follows: Process A: Raw wool is converted into premium woollen thread. Process…
33. Rivaan Industries manufactures and sells wooden study tables. The demand for these tables has been steadily increasing due to the company's strong…
34. Kantur Ltd. is a medium-sized manufacturer of precision components used in the automobile aftermarket. The factory runs a single production line…
35. Phoenix Manufacturing Ltd. has grown significantly and now operates through several specialised departments. The management wants to assign each…
36. XYZ Ltd. manufactures four types of products namely P, Q, R and S. The details for the month of April 2025 are as follows: Particulars P Q R S…
37. Vihan Retail Co. has decided to expand the size of its store. It wants information about the profitability of its individual product lines:…
38. Astra Components Pvt. Ltd. is a Tier-2 supplier to the electrical vehicle (EV) industry. The company manufactures a single machined housing…
39. Star study centre provides coaching classes to school students. The study centre has taken an auditorium of 250 seat capacity on rent of 3,75,000…
40. Divit Electronics manufactures three types of home appliances. The management notes that the plant has an installed capacity of 50,000 units per…
41. DISCUSS the remedial steps to be taken to minimize the labour turnover.
42. MENTION the circumstances under which following types of method of apportioning joint costs can be used. 1. Net Realisable Value (NRV) at Split-off…