This quiz works best with JavaScript enabled. Home > Accounting > Management Accounting > Management Accounting – Quiz 64 🏠 Homepage 📘 Download PDF Books 📕 Premium PDF Books Management Accounting Quiz 64 (20 MCQs) Quiz Instructions Select an option to see the correct answer instantly. 1. Which of the following statements refers to management accounting information? A) There are no regulations governing the reports. B) The audience tends to be stockholders, creditors, and tax authorities. C) The reports are generally delayed and historical. D) It primarily measures and records business transactions. Show Answer Correct Answer: A) There are no regulations governing the reports. 2. ..... provides an estimate of the capital amount that may be required for buying fixed assets needed for meeting production requirements. A) Production budget. B) Cash budget. C) Capital expenditure budget. D) None of the above. Show Answer Correct Answer: B) Cash budget. 3. Profit / PV ratio is equal to ..... A) Net Profit. B) Contribution. C) BEP. D) Margin of Safety. Show Answer Correct Answer: D) Margin of Safety. 4. Goodwill is one of the A) Intangible assets. B) Current assets. C) Tangible assets. D) Liquid assets. Show Answer Correct Answer: A) Intangible assets. 5. Period costs A) Are selling costs and administrative costs. B) Are used to compute product cost. C) Can be included in overhead costs. D) Are carried in inventory until the goods are sold. Show Answer Correct Answer: A) Are selling costs and administrative costs. 6. What are the main risks of kaizen budget? A) Product quality decreases. B) Cost reduction. C) Decrease in production quantity. D) Margin Decline. Show Answer Correct Answer: A) Product quality decreases. 7. Which of the following are the assumptions of marginal costing?A) Cost can be divided into fixed and variableB) Fixed cost remains constant at all levels of outputC) Variable costs varies in proportion to the volume of outputD) Per unit selling price remain unchanged at all levels A) A & B. B) B & C. C) A & D. D) A, B, C & D. Show Answer Correct Answer: D) A, B, C & D. 8. Furniture is regarded as A) Assett. B) Fixed Assett. C) Liability. D) Current Liability. Show Answer Correct Answer: B) Fixed Assett. 9. In the cost-volume-profit graph A) Neither the total revenue curve nor the total cost curve appear. B) The area of loss cannot be determined. C) The area of profit is to the left of the break-even point. D) Both the total revenue curve and the total cost curve appear. Show Answer Correct Answer: D) Both the total revenue curve and the total cost curve appear. 10. Bank fees A) Expense. B) Revenue. C) Owner's Equity. D) None of above. Show Answer Correct Answer: A) Expense. 11. ..... is the tool/s of management accounting A) Marginal Costing. B) Budget and budgetary control. C) Standard Costing. D) All of the above. Show Answer Correct Answer: D) All of the above. 12. What is the basic function of management accounting? A) To serve public. B) To manage the performance of the financial function. C) To serve government. D) All of the above . Show Answer Correct Answer: B) To manage the performance of the financial function. 13. Below is the information of Funder Bhd for the month:Total material costs RM80, 000Equivalent units of materials 10, 000Total conversion costs RM120, 000Equivalent units of conversion costs 20, 000How much is the total manufacturing cost per equivalent unit? A) RM14.00. B) RM6.67. C) RM6.00. D) RM8.00. Show Answer Correct Answer: A) RM14.00. 14. Total Fixed cost ..... A) Remains constant irrespective of the output. B) Is directly related to the output. C) Is inversely related to the output. D) No relation with output. Show Answer Correct Answer: A) Remains constant irrespective of the output. 15. Working out the ..... for each product helps managers to set the right price in order to be profitable A) Break-even price. B) Profit margin. C) Bottom line. D) Selling price. Show Answer Correct Answer: B) Profit margin. 16. Which is the traditional method of Capital budgeting? A) Accounting Method. B) Payout Method. C) Pay back Method. D) All of the above. Show Answer Correct Answer: D) All of the above. 17. Total contribution margin divided by total sales is the A) Indifference point. B) Margin of safety. C) Target income. D) Contribution margin ratio. Show Answer Correct Answer: D) Contribution margin ratio. 18. What is the basic premise of cost concept? A) Cost ascertainment. B) Tax compliance. C) Financial audit. D) Profit analysis. Show Answer Correct Answer: A) Cost ascertainment. 19. Capital A) Revenue. B) Liability. C) Owner's Equity. D) None of above. Show Answer Correct Answer: C) Owner's Equity. 20. X Ltd. has earned a contribution of Rs. 2, 00, 000 and Net Profits of Rs. 1, 50, 000 on sales of Rs. 8, 00, 000. What is its MOS A) Rs. 7, 50, 000. B) Rs. 5, 75, 000. C) Rs. 6, 00, 000. D) Rs. 6, 50, 000. Show Answer Correct Answer: C) Rs. 6, 00, 000. ← 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