Mock exam: Costing essentials
Questions from every module of Costing essentials.
20 questions, 30 minutes, no hints. Nothing is marked until you hand it in, then you see your score for each topic.
How a sitting works
- Every question is on one page, and the clock starts when you begin. You can change any answer until you hand the paper in, and it is handed in for you when the time runs out.
- Questions are drawn fresh each time, spread across every module the exam covers.
- Your result shows each topic, so you know which rooms to go back to.
- Score 70% or more to pass. Your first pass adds 100 marks.
What it covers
Cost classificationThe ways a business sorts its costs: by what they are, by whether they can be traced to a product, by how they behave, and by who is responsible.Coding costs and incomeA cost code says which part of the business a cost belongs to and what kind of cost it is. Build codes, apply them and check them.Inventory valuationPrices change, so the same goods can be given more than one value. Work through FIFO and weighted average cost, and keep an inventory record card.Labour costsHow production workers are paid and what that does to the cost of the product: time rate, overtime, piecework, bonuses and labour cost per unit.OverheadsRent, heating and salaries belong to no single product. Share them between departments, then charge them to each job by the hour.Marginal costingSplit costs into fixed and variable, and one figure does most of the work: contribution. Use it to find break-even, safety and target sales.Budgets and variancesA budget is the plan. A variance is where the month went differently. Build a budget, flex it, and report the differences that matter.
Questions
Is it free?
No. It needs Premium. The free rooms of Costing essentials are the place to prepare.
How long is it?
20 questions in 30 minutes. The paper is handed in when the time runs out.
What is the pass mark?
70%. Your first pass adds 100 marks to your record.
Are the questions the same each time?
No. Each sitting draws new questions, spread across the 7 modules it covers.
Is it a real exam?
No. It is a practice paper on Ledger Drill, which is independent and not affiliated with AAT. Passing it is not a qualification.