This quiz works best with JavaScript enabled. Home > Accounting > Management Accounting > Management Accounting – Quiz 23 🏠 Homepage 📘 Download PDF Books 📕 Premium PDF Books Management Accounting Quiz 23 (20 MCQs) Quiz Instructions Select an option to see the correct answer instantly. 1. Which of the following is a Revenue Expenditure A) Interest Received on Savings. B) Rent Received from Tenant. C) Purchasing Start-up Machinery. D) Purchasing Raw Materials. Show Answer Correct Answer: D) Purchasing Raw Materials. 2. Element/s of Cost of a product are A) Material only. B) Labour only. C) Expenses only. D) Material, Labour and expenses. Show Answer Correct Answer: D) Material, Labour and expenses. 3. Current ratio is also known as A) Working capital ratio. B) Quick ratio. C) Liquid account. D) Acid test ratio. Show Answer Correct Answer: A) Working capital ratio. 4. Accounts receivable turn over ratio measures A) Number of times inventory is sold during the year. B) How quickly a firm collects its Debtors. C) Howmuch in total assets a firm must have to generate its sales. D) The proportion of receivables in accounts. Show Answer Correct Answer: B) How quickly a firm collects its Debtors. 5. ..... is the study of managerial aspects of financial accounting A) Cost accounting. B) Financial accounting. C) Management accounting. D) Business accounting. Show Answer Correct Answer: C) Management accounting. 6. What do you mean by Cost Management? A) Managing Cost. B) Managing Fund. C) Managing Asset. D) Managing Liabilities. Show Answer Correct Answer: A) Managing Cost. 7. Planning and forecating, modification of data is a A) Objectives of management. B) Functions of management. C) Scope of management. D) None. Show Answer Correct Answer: B) Functions of management. 8. Opening receivables are £1, 000, sales invoices raised are £5, 000 and closing receivables are £600. What is the receipts from sales in our cash budget? A) £5, 000. B) £6, 600. C) £4, 600. D) £5, 400. Show Answer Correct Answer: D) £5, 400. 9. Which of the following is used to calculate the average collection period of a company? A) Debtors turnover ratio. B) Creditors turnover ratio. C) Inventory turnover ratio. D) None of the above. Show Answer Correct Answer: A) Debtors turnover ratio. 10. Lordship Ltd has annual budgeted overheads of £15, 000 and annual budgeted machine hours of 30, 000. What is the budgeted overheads absorption rate? A) £0.50. B) £0.55. C) £0.65. D) £2. Show Answer Correct Answer: A) £0.50. 11. ABC co is planning to undertake a project with initial outlay of $ 600, 000 and it will yield annual profits (after depreciation) of $ 40000 per year for next 5 years. The residuals value of projects asset will be $ 60000.calculateARR A) 1.48%. B) 7.41%. C) 12.12%. D) 2.42%. Show Answer Correct Answer: C) 12.12%. 12. Marketable securities are part of ..... A) Fixed Assets. B) Investments. C) Current Assets. D) None. Show Answer Correct Answer: C) Current Assets. 13. Stakeholders are: A) Customers. B) Suppliers. C) Shareholders. D) Creditors. E) All of the above. Show Answer Correct Answer: C) Shareholders. 14. What are the instruments/ tools related to management accounting? A) Marginal costing. B) Standard costing. C) Budget control. D) All of the above. Show Answer Correct Answer: D) All of the above. 15. Sales= Rs.500000, Variable Cost= Rs.200000, Fixed Cost= Rs.50000. What is the BEP Sales? A) 83333. B) 125000. C) 500000. D) 300000. Show Answer Correct Answer: A) 83333. 16. What is the classification of Accounts Payable ..... Staples? A) Asset. B) Liability. C) Owner's Equity. D) Expense. Show Answer Correct Answer: B) Liability. 17. The profit and loss account (or the income statement) is a financial statement of a firm's trading activities over a period of time, usually one month. A) TRUE. B) FALSE. Show Answer Correct Answer: B) FALSE. 18. Purchase of delivery van A) Capital Expenditure. B) Revenue Expenditure. Show Answer Correct Answer: A) Capital Expenditure. 19. A partnership must have more than one owner. A) True. B) False. Show Answer Correct Answer: A) True. 20. Depreciation of Plant and Machinery will come under A) Factory Overhead. B) Office and Administrative Overhead. C) Selling and Distribution Overhead. D) Prime cost. Show Answer Correct Answer: A) Factory Overhead. ← 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