1286. The cost that a firm incurs in hiring or purchasing any factor of production is referred to as

by
Explicit cost
Implicit cost
Variable cost
Fixed cost
✅ The correct answer is A.
The cost that a firm incurs in hiring or purchasing any factor of production is referred to as Explicit cost. An explicit cost is a direct payment made to others in the course of running a business, such as wage, rent and materials, as opposed to implicit costs, where no actual payment is made.

1285. Net realizable value is added into separate costs to calculate

by
split off costs
final cost of direct labour
final sales
final costs
✅ The correct answer is C.
Net realizable value is added into separate costs to calculate final sales. Net realizable value (NRV) is the value for which an asset can be sold, minus the estimated costs of selling or discarding the asset. The NRV is commonly used in the estimation of the value of ending inventory.

1284. Cost function, in which graph of total cost would not result in straight line is classified as

by
nonlinear cost function
linear cost function
linear price function
nonlinear price function
✅ The correct answer is A.
Cost function, in which graph of total cost would not result in straight line is classified as nonlinear cost function. A nonlinear cost function is a cost function where, within the relevant range, the graph of total costs versus the level of a single activity related to that cost is not a straight line.

1282. Component of total cost, which never changes with change in level of production is classified as

by
fixed cost
constant
variable
both a and b
✅ The correct answer is A.
Component of total cost, which never changes with change in level of production is classified as fixed cost. A fixed cost is an expense that does not change as production volume increases or decreases within a relevant range.

1280. Method which ranks cost object incurred by individual users, in ranking order of more responsible users is classified as

by
bundled products allocation method
variable cost allocation method
stand-alone cost allocation method
incremental cost allocation method
✅ The correct answer is D.
Method which ranks cost object incurred by individual users, in ranking order of more responsible users is classified as incremental cost allocation method. Cost allocation methods are designed to allocate costs not necessarily associated with a product, to the appropriate products to get a realistic estimate of costs so that a proper price can be determined for a particular product.

1297. In a Unit Linked plan what is the death claim payable?

by
Sum insured
Sum insured less survival benefits paid already
Sum insured or fund value which is higher
Fund value
✅ The correct answer is C.
In a Unit Linked plan, Sum insured or fund value which is higher is the death claim payable. The unit-linked insurance plans ( Ulips) provide both death and maturity benefits to the policyholder. If he dies during the term of the policy, the beneficiary will receive one of these: sum assured, the higher of the fund value and sum assured, or sum assured and the value of the fund, depending on the terms of the policy.