This quiz works best with JavaScript enabled. Home > Accounting > Management Accounting > Management Accounting – Quiz 62 🏠 Homepage 📘 Download PDF Books 📕 Premium PDF Books Management Accounting Quiz 62 (20 MCQs) Quiz Instructions Select an option to see the correct answer instantly. 1. Fund means A) Current assets. B) Current liabilities. C) Working capital. D) Net working capital. Show Answer Correct Answer: D) Net working capital. 2. ..... is a detailed budget of cash receipts and cash expenditure incorporating both revenue and capital items A) Cash budget. B) Sales budget. C) Capital Expenditure budget. D) Overhead budget. Show Answer Correct Answer: A) Cash budget. 3. Which one of the following is least likely to be an objective of cost accounting system? A) Product Costing and Inventory Valuation. B) Sales Commission Determination. C) Department Efficiency. D) Income Determination. Show Answer Correct Answer: B) Sales Commission Determination. 4. Cost of Goods Manufactured is $ 200, 000, beginning Finished Goods is $ 50, 000, ending Finished Goods is $ 100, 000, and ending Work In Process is $ 10, 000. What is the Cost of Goods Sold? A) $ 150, 000. B) $ 250, 000. C) $ 100, 000. D) $ 50, 000. Show Answer Correct Answer: A) $ 150, 000. 5. Solvency ratio include A) G/P Ratio. B) Fixed Assets turnover. C) Capital gearing ratio. D) P/E ratio. Show Answer Correct Answer: C) Capital gearing ratio. 6. Feed-forward control provides information about performance deficiencies by monitoring outputs. A) True. B) False. Show Answer Correct Answer: B) False. 7. What is the formula for cost of sales? A) Opening Stock-Purchases + Closing Stock. B) Opening Stock + Purchases + Closing Stock. C) Opening Stock + Purchases-Closing Stock. D) Opening Stock-Purchases-Closing Stock. Show Answer Correct Answer: C) Opening Stock + Purchases-Closing Stock. 8. Describe the method of costing to be applied in case of Nursing Home A) Operating Costing. B) Process Costing. C) Contract Costing. D) Job Costing. Show Answer Correct Answer: A) Operating Costing. 9. Management accounting involves A) Recording of costs. B) Recording of transaction. C) Analysis and interpretation of data. D) Preparing of financial statement. Show Answer Correct Answer: C) Analysis and interpretation of data. 10. Calculate MCVactual quantity is 100Actual price is 600Budgeted quantity 150Budgeted price 650 A) 37500(A). B) 36000(F). C) 45000(A). D) None. Show Answer Correct Answer: D) None. 11. Data about Anabelle Company's production and inventories for the month of June are as follows:Purchases-direct materials P143, 440Freight in P5, 000Purchase returns and allowances P2, 440Direct Labor P175, 000Actual Factory Overhead P120, 000InvetoriesJune 1:Finished Goods P68, 000Work in Process P110, 000Direct Materials P52, 000June 30:Finished goods P56, 000Work in Process P135, 000Direct Materials P44, 000Annabelle Company applied factory overhead to production at 80% of direct labor cost. Over-or underapplied overhead is closed to cost of goods sold at year-end. The company's accounting period is on the calendar year basis.The amount of over/under applied for the month of June was A) 140, 000 OA. B) 120, 000 UA. C) 20, 000 OA. D) 20, 000 UA. Show Answer Correct Answer: C) 20, 000 OA. 12. Solvency ratio measures A) Ability to meet its long term debts. B) Ability to meet its short term debts. C) Ability to meet sundry creditors in time. D) Ability to solve problems. Show Answer Correct Answer: A) Ability to meet its long term debts. 13. Financial analysis and interpretation can be done through trend analysis A) True. B) False. C) May be. D) None. Show Answer Correct Answer: A) True. 14. In comparing financial and management accounting, which of the following more accurately describes management accounting information? A) Historical, precise, useful. B) Required, estimated, internal. C) Budgeted, informative, adaptable. D) Comparable, verifiable, monetary. Show Answer Correct Answer: C) Budgeted, informative, adaptable. 15. In a make-or-buy decision, which of the following would NOT be relevant? A) The quality of the product. B) The portion of fixed costs that could be eliminated by outsourcing. C) A lease that could be discontinued upon accepting the ""buy proposal"". D) Property taxes on the plant that will still be necessary even if the product is outsourced. Show Answer Correct Answer: D) Property taxes on the plant that will still be necessary even if the product is outsourced. 16. Creditor A) Internal users. B) External users. Show Answer Correct Answer: B) External users. 17. The difference between a person's assets and liabilities. A) Credit. B) Owner's equity. C) Net worth. D) Interest. Show Answer Correct Answer: C) Net worth. 18. A graph of the relationship between total cost and activity level is called a A) Relevant range. B) Scattergraph. C) Contribution margin graph. D) Dependent variable. Show Answer Correct Answer: B) Scattergraph. 19. STATEMENTS BELOW ARE THE BENEFIT OF ENVIRONMENT MANAGEMENT ACCOUNTING IMPLEMENTATION FOR COMPANY, EXCEPT ..... A) MAINTAIN THE STAKEHOLDERS SATISFY. B) HELP FOR MAKING DECISIONS. C) INCREASE ENVIRONMENT AND ECONOMIC PERFORMANCE. D) DECREASE TAX PAYMENT. Show Answer Correct Answer: D) DECREASE TAX PAYMENT. 20. Which type of bank account typically offers the highest interest? A) Savings. B) CD. C) Checking. D) Money market. Show Answer Correct Answer: B) CD. ← 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