Question
Amita loves baking. She worked with a bakery which was
famous for its cookies and cakes. However, Amita loved making cakes like a piece of art. She later started her own bakery service where she made beautiful cakes, each made to order. Which type of costing method is most suitable for Amita to follow?ÂSolution
Job Costing or Job Order Costing means ascertaining the cost of a specific job. It is used by industries that perform specific jobs related to the customized needs of the customers. Example – selling the contract of printing papers or construction industry, interior decoration, garage, etc.  Since customised cakes made each as per individual order is a specific job, job costing is most suitable.
In the framework of monetary policy, central banks employ various tools to manage liquidity and control inflation within the economy. One such tool invo...
Consider the following statements about Commercial Paper (CP):
1. It is a short-term, unsecured promissory note.
2. Only companies with a ...
What is the minimum threshold of debt for a bank to initiate recovery proceedings under the Recovery of Debts and Bankruptcy (DRT) Act?Â
'Gearing Ratio' is another name for which of the following?Â
Under 'Assignment', which of the following is usually transferred to the bank?Â
In the modern business environment, the concept of Corporate Social Responsibility (CSR) has become a significant aspect of corporate governance. This c...
What is the 'Base Rate' system replaced by for new loans since 2016?Â
Consider the revised MSME classification (effective July 2020) and evaluate these statements:
1. The distinction between manufacturing and servic...
The 'Banking Ombudsman' can pass an award for compensation for mental agony/harassment up to:Â
A 'Hybrid' instrument is one that:Â
