This quiz works best with JavaScript enabled. Home > Accounting > Management Accounting > Management Accounting – Quiz 31 🏠 Homepage 📘 Download PDF Books 📕 Premium PDF Books Management Accounting Quiz 31 (20 MCQs) Quiz Instructions Select an option to see the correct answer instantly. 1. Monthly variance reports are an example of which one of the following types of management information? A) Tactical. B) Strategic. C) Non-financial. D) Operational. Show Answer Correct Answer: A) Tactical. 2. Property received as a result of the will of the deceased person is called A) Honorarium. B) Legacy. C) Donation. D) Subscription. Show Answer Correct Answer: B) Legacy. 3. Determining which products should be produced when the plant is operating at full capacity is referred to as a(n): A) Outsourcing analysis. B) Total alternative approach. C) Product-mix decision. D) Short-run focus decision. Show Answer Correct Answer: C) Product-mix decision. 4. Which of the following best describes interactive control systems? A) It articulates the mission, purpose, and core values of a company. B) It articulates standards of behavior and codes of conduct expected of all employees and help in achieving the maximum benefit. C) They are formal information systems managers use to focus the company's attention and learning on key strategic issues. D) It describes the geographic limits of a company and help organize its layout. Show Answer Correct Answer: C) They are formal information systems managers use to focus the company's attention and learning on key strategic issues. 5. Who is the user of ratio analysis? A) Management. B) Creditors & financial institutions. C) Investors. D) All. Show Answer Correct Answer: D) All. 6. Inventory A) Owner's Equity. B) Asset. C) Expenses. D) None of above. Show Answer Correct Answer: B) Asset. 7. What kind of financial statement is comprised of Revenues and Expenses? A) Income Statement. B) Balance Sheet. C) Cash Flow Statement. D) Asset Statement. Show Answer Correct Answer: A) Income Statement. 8. Planning is a function of A) Auditing. B) Management Accounting. C) Financial Accounting. D) Cost Accounting. Show Answer Correct Answer: B) Management Accounting. 9. The term Management accounting was first used in A) 1945. B) 1950. C) 1955. D) 1960. Show Answer Correct Answer: B) 1950. 10. Which of the following costs tire treated as product cost under variable costing: A) Only direct costs. B) Only variable production costs. C) Only material and labour costs. D) All variable and fixed manufacturing costs. Show Answer Correct Answer: B) Only variable production costs. 11. The break-even point is when A) The company is operating at a loss. B) Total revenue equals total cost. C) The company is earning a small profit. D) Total sales equals operating income. Show Answer Correct Answer: B) Total revenue equals total cost. 12. Manufacturing cost are the costs to produce a product. It is divided into direct cost and indirect cost. A) True. B) False. Show Answer Correct Answer: A) True. 13. Increase in direct materials prices is not likely to be a reason of unfavorable direct labor efficiency variance A) Yes. B) No. Show Answer Correct Answer: A) Yes. 14. Which is not included in budget accountability A) Cost Center. B) Revenue Center. C) Investment Center. D) Share Center. Show Answer Correct Answer: D) Share Center. 15. Gallon Corporation had $ 24, 000 of raw materials on hand on April 1. During the month, the Corporation purchased an additional $ 52, 000 of raw materials. During April, $ 62, 000 of raw materials were requisitioned from the storeroom for use in production. These raw materials included both direct and indirect materials. The indirect materials totaled $ 2, 000. The debits to the Work in Process account as a consequence of the raw materials transactions in April total: A) $ 60, 000. B) $ 62, 000. C) $ 0. D) $ 52, 000. Show Answer Correct Answer: A) $ 60, 000. 16. Why would a company adopt a decentralized organization? A) To train and motivate divisions managers. B) To let top management focus on strategic planning. C) To allow division managers to make important operating decisions. D) All of the above. Show Answer Correct Answer: D) All of the above. 17. The ..... is a measure of liquidity that excludes generally the least liquid asset. A) Liquid ratio, Accounts receivable. B) Current ratio, inventory. C) Liquid ratio, inventory. D) Current ratio, Accounts receivable. Show Answer Correct Answer: C) Liquid ratio, inventory. 18. The company repays the bank that had lent money A) Assets (I). B) Liabilities (D). C) Equity (D). D) None of above. Show Answer Correct Answer: B) Liabilities (D). 19. THE COMPANY IS EXPECTED TO CONTRIBUTE DIRECTLY TO THE COMMUNITY BY IMPROVING THE QUALITY OF LIFE OF THE COMMUNITY AND THE ENVIRONMENT IS THE MEANING FROM ..... A) SOCIAL ASPECT. B) POLITICAL ASPECT. C) ECONOMY ASPECT. D) PUBLIC WALFARE ASPECT. Show Answer Correct Answer: A) SOCIAL ASPECT. 20. The Electricity expenses for 10, 000 units of output is Rs 22, 500 and that for producing 15, 000 units is Rs. 32, 500. What is the per unit variable cost A) Rs. 2. B) Rs. 2.25. C) Rs. 2.17. D) Rs. 2.20. Show Answer Correct Answer: A) Rs. 2. ← 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