This quiz works best with JavaScript enabled. Home > Accounting > Management Accounting > Management Accounting – Quiz 15 🏠 Homepage 📘 Download PDF Books 📕 Premium PDF Books Management Accounting Quiz 15 (20 MCQs) Quiz Instructions Select an option to see the correct answer instantly. 1. Which of the following best defines Capital expenditure? A) Amount spent on purchase of fixed assets. B) Amount spent on running the day to day working of the business. C) Amount invested by the owner. D) Amount spent on maintenance of machinery. Show Answer Correct Answer: A) Amount spent on purchase of fixed assets. 2. Opening payables are £10, 000, invoices received are £25, 000 and closing payables are £7, 000. What is the payments to suppliers in our cash budget? A) £42, 000. B) £28, 000. C) £22, 000. D) £25, 000. Show Answer Correct Answer: B) £28, 000. 3. Information users of management accounting are mostly: A) Managers at all levels of the Enterprise. B) State administrative agencies. C) Tax authorities. D) All of the above implementing organizations. Show Answer Correct Answer: A) Managers at all levels of the Enterprise. 4. Break-even revenue for the multiple-product firm can be calculated by A) Dividing segment fixed cost by the overall contribution margin ratio. B) Dividing total fixed cost by the overall contribution margin ratio. C) Dividing total fixed cost by the overall variable cost ratio. D) Multiplying total fixed cost by the contribution margin ratio. Show Answer Correct Answer: B) Dividing total fixed cost by the overall contribution margin ratio. 5. What is CSR? A) 1. Corporate social responsibility. B) 2. Customer satisfaction research. C) 3. Customer service responsibility. D) 4. Corporate skills research. Show Answer Correct Answer: A) 1. Corporate social responsibility. 6. The role of financial management does not usually include responsibility for A) Risk management. B) Corporate finance. C) Compliance with accounting standards. D) None of above. Show Answer Correct Answer: C) Compliance with accounting standards. 7. Management account is highly sensitive to A) Governments need. B) Investor needs. C) Management Needs. D) Towards all needs. Show Answer Correct Answer: C) Management Needs. 8. In production of Pen which of the following will be direct material A) Plastic. B) Ink. C) Nib. D) All of the above. Show Answer Correct Answer: D) All of the above. 9. ..... provides comparative data for analysis and interpretation for effective decision making and policy formulation A) Financial accounting. B) Cost accounting. C) Management accounting. D) Corporate accounting. Show Answer Correct Answer: C) Management accounting. 10. Budgets can be created in periods A) Yearly. B) Monthly. C) Fiscal. D) All True. Show Answer Correct Answer: D) All True. 11. Fixed cost Rs.9600, Sales Rs.25200, ProfitRs.3000 calculate p/v ratio? A) 20%. B) 25%. C) 50%. D) 10%. Show Answer Correct Answer: C) 50%. 12. This refers to an accounting method used to allocate the cost of a tangible or physical asset over its useful life. A) Depreciation. B) Amortisation. Show Answer Correct Answer: A) Depreciation. 13. Current assets are equal to..... A) Current liabilities. B) Quick assets + Stock. C) Stock. D) None of these. Show Answer Correct Answer: B) Quick assets + Stock. 14. A factor that causes or leads to a change in a cost or activity is a(n) A) Intercept. B) Driver. C) Slope. D) Cost object. Show Answer Correct Answer: B) Driver. 15. Which of the following are sources of funds? A) Issue of bonus shares. B) Issue of shares against the purchase of fixed assets. C) Conversion of debentures into shares. D) None of the above. Show Answer Correct Answer: D) None of the above. 16. Management Accounting can be viewed as ..... A) Marketing oriented accounting. B) Management oriented accounting. C) Accounting oriented management. D) Manager oriented accounting. Show Answer Correct Answer: B) Management oriented accounting. 17. Alen is recently employed by a multinational company and he is asked to appraise a project. He has the following two opinions about discounting, Which are correct; 1. Discounting is to use future value and convert it into present value 2. Discounting is to use present value and convert it to future value 3. Discounting tells us how much worth the given project has in today's term 4. Discounting tells us how much worth the given project has in future. A) 1 and 2 above. B) 1 and 3 above. C) 2 and 4 above. D) 1 and 4 above. Show Answer Correct Answer: B) 1 and 3 above. 18. In evaluating different alternatives, it is useful to concentrate on: A) Variable costs. B) Fixed costs. C) Total costs. D) Relevant costs. Show Answer Correct Answer: D) Relevant costs. 19. Which of the following is the correct sequence of the value chain? A) Design, research and development, production, supply, marketing, customer service, distribution. B) Research and development, design, supply, production, marketing, distribution, customer service. C) Research and development, design, supply, production, marketing, customer service, distribution. D) Supply, research and development, design, production, marketing, distribution, customer service. Show Answer Correct Answer: B) Research and development, design, supply, production, marketing, distribution, customer service. 20. Cash equivalents are the short-term investments that can be readily converted into cash.What is the maturity period of these Investments? A) 3 months or less. B) More than 3 months to 6 Months. C) Less than 1 year but more than 6 months. D) More than 1 year. Show Answer Correct Answer: A) 3 months or less. ← PreviousNext →Related QuizzesAccounting QuizzesManagement Accounting Quiz 1Management Accounting Quiz 2Management Accounting Quiz 3Management Accounting Quiz 4Management Accounting Quiz 5Management Accounting Quiz 6Management Accounting Quiz 7Management Accounting Quiz 8Management Accounting Quiz 9 🏠 Back to Homepage 📘 Download PDF Books 📕 Premium PDF Books