This quiz works best with JavaScript enabled. Home > Accounting > Management Accounting > Management Accounting – Quiz 20 🏠 Homepage 📘 Download PDF Books 📕 Premium PDF Books Management Accounting Quiz 20 (20 MCQs) Quiz Instructions Select an option to see the correct answer instantly. 1. Audit committee is an effective means for corporate governance that reduces the potential for fraudulent financial reporting A) True. B) False. Show Answer Correct Answer: A) True. 2. The balance of fixed assets of Y Ltd. at cost at the end of 2013 and 2014 were Rs 5, 70, 800 and Rs 6, 15, 300. During the year 2014 a machinery costing Rs 60, 000 was sold. Determine the purchase of fixed assets. A) Rs 1, 04, 500. B) Rs 1, 40, 500. C) Rs 1, 64, 500. D) None of the above. Show Answer Correct Answer: A) Rs 1, 04, 500. 3. Jentayu Sdn Bhd has identified an activity cost pool to which it has allocated estimated overhead of RM960, 000. It has determined the expected use of cost drivers for that activity to be 80, 000 inspections. Cameras require 20, 000 inspections, and printers require 60, 000 inspections. The overhead assigned to each product is ..... A) Cameras RM240, 000; printers RM720, 000. B) Cameras RM720, 000; printers RM240, 000. C) Cameras RM1, 280, 000; printers RM3, 840, 000. D) Cameras RM3, 840, 000; printers RM1, 280, 000. Show Answer Correct Answer: A) Cameras RM240, 000; printers RM720, 000. 4. Cash Budget is Prepared from ..... A) Cash Forcast. B) Fixed budget. C) Flexible budget. D) Master budget. Show Answer Correct Answer: A) Cash Forcast. 5. How do you account for wages in terms of work done on DIRECT tasks? A) Dr Wages Control, Cr Bank. B) Dr Production Overheads, Cr Wages Control. C) Dr WIP, Cr Bank. D) Dr WIP control, Cr Wages Control. Show Answer Correct Answer: D) Dr WIP control, Cr Wages Control. 6. Gaven owns a car dealership, which of the following items would be revenue receipt? A) Money received from selling an old office equipment. B) The purchase of car parts for the dealership. C) Money received from commissions on sale of vehicles. D) Rent paid for the premises that is used for the dealership. Show Answer Correct Answer: C) Money received from commissions on sale of vehicles. 7. Contribution margin is also known as A) Marginal income. B) Gross Profit. C) Net Profit. D) All of the above. Show Answer Correct Answer: A) Marginal income. 8. Financial Accounting is ..... where as Management Accounting is ..... A) Voluntary, voluntary. B) Voluntary, compulsory. C) Compulsory, voluntary. D) Compulsory, compulsory. Show Answer Correct Answer: C) Compulsory, voluntary. 9. Who stated the definition of management accounting as "Management Accounting is concerned with accounting information which is useful to management" ? A) Robert Anthony. B) Michael Porter. C) J. Batty. D) James H Bliss . Show Answer Correct Answer: A) Robert Anthony. 10. While computation of profit in marginal costing A) Total marginal cost is deducted from total sales revenues. B) Total marginal cost is added to total sales revenues. C) Fixed cost is added to contribution. D) None of the above. Show Answer Correct Answer: A) Total marginal cost is deducted from total sales revenues. 11. Liability accounts decrease with a A) Debit. B) Credit. Show Answer Correct Answer: A) Debit. 12. The chief objective of management accounting is to server A) Public at large. B) Management. C) Government. D) Employees. Show Answer Correct Answer: B) Management. 13. Which of the following would be capital receipts? A) Purchase of goods for sale in a business. B) Purchase of equipment for use in a business. C) Sale of stock in a business. D) Sale of fixed asset by a business. Show Answer Correct Answer: D) Sale of fixed asset by a business. 14. Is the process of preparing reports about business operations that help managers make short-term and long-term decisions. A) Financial Planning. B) Forecasting Cash Flows. C) Cash Flow Analysis. D) Management Accounting. Show Answer Correct Answer: D) Management Accounting. 15. Management accounting renders useful information to management in performing A) Business functions. B) Co-ordination functions. C) All management functions. D) Control functions. Show Answer Correct Answer: C) All management functions. 16. The statements are produced annually. A) Financial accounting. B) Management accounting. Show Answer Correct Answer: A) Financial accounting. 17. Relation of Management Accounting is- A) Recording of Actual Data. B) Recording of cost data. C) Presentation of Accounting data. D) None of these. Show Answer Correct Answer: C) Presentation of Accounting data. 18. Bank loan A) Liability. B) Expense. C) Asset. D) None of above. Show Answer Correct Answer: A) Liability. 19. Determine Debtors turnover ratio if, closing debtors is Rs 40, 000, Cash sales is 25% of credit sales and excess of closing debtors over opening debtors is Rs 20, 000. A) 4 times. B) 6 times. C) 2 times. D) 8 times. Show Answer Correct Answer: A) 4 times. 20. What is the primary goal of environmental cost analysis in EMA? A) To demonstrate regulatory compliance. B) To track and reduce environmental costs. C) To obtain certification. D) To prepare sustainability reports. Show Answer Correct Answer: B) To track and reduce environmental costs. ← 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