This quiz works best with JavaScript enabled. Home > Accounting > Managerial Accounting > Managerial Accounting – Quiz 22 🏠 Homepage 📘 Download PDF Books 📕 Premium PDF Books Managerial Accounting Quiz 22 (20 MCQs) Quiz Instructions Select an option to see the correct answer instantly. 1. Jake's Jump Ropes has a total indirect cost of $ 500, 000 and incurs a direct cost of $ 100, 000. Which of the following is the overhead rate ratio? A) 5:1. B) 1:5. C) 2:1. D) 1:2. Show Answer Correct Answer: A) 5:1. 2. What type of plan is it when managers are ready to set goals and create a plan to meet those goals after they have analyzed the comparative income statement. A) Operational Planning. B) Financial Planning. C) Business Planning. D) Corporate Planning. Show Answer Correct Answer: A) Operational Planning. 3. Managerial accounting reports generally pertain to ..... of a business and may be very detailed. A) Product. B) Planning. C) Special. D) Subunits. Show Answer Correct Answer: D) Subunits. 4. Primarily concerned with external users and reports pertain to the entity as a whole. A) Direct materials. B) Managerial accounting. C) Financial accounting. D) Value chain. Show Answer Correct Answer: C) Financial accounting. 5. The amount of sales required to cover all costs at which net income is zero. A) Break-Even Point. B) Neutrality Point. C) Zero income point. D) Margin of Safety. Show Answer Correct Answer: A) Break-Even Point. 6. The theory and system of setting up, maintaining, and auditing the financial books of a firm A) Accounting. B) Managerial Accounting. C) Financial Accounting. D) Economics. Show Answer Correct Answer: A) Accounting. 7. Parham Bridges Recreation's operating activities for the year are listed below. Purchases$ 174, 000Operating expenses62, 200Beginning inventory 27, 900Ending inventory 38, 000Sales revenue 333, 400 What is the cost of goods sold for the year? A) $ 163, 900. B) $ 201, 900. C) $ 174, 000. D) $ 97, 200. Show Answer Correct Answer: A) $ 163, 900. 8. When Sales is S, Variable Cost is 70% of Sales, and Fixed Cost is FC, what is the target Sales to achieve the target net profit set at 20% of Sales? A) 0.2/FC. B) FC/0.2. C) FC/0.7. D) FC/0.1. Show Answer Correct Answer: D) FC/0.1. 9. The following is not the role of cost accounting information for management..... A) Evaluate the performance of production managers. B) Evaluate purchasing manager performance. C) Evaluate the performance of the company's director managers by shareholders. D) Control operations. Show Answer Correct Answer: C) Evaluate the performance of the company's director managers by shareholders. 10. Expenses and losses with no cash outflows are added back to net income. A) True. B) False. Show Answer Correct Answer: A) True. 11. The difference between the cost of the products sold and the net sales. A) Gross Profit. B) Net Profit. C) Cost of Goods Sold. D) None of above. Show Answer Correct Answer: A) Gross Profit. 12. Is the measure of resources given up to achieve a particular purpose. A) Job Shop. B) Cost. C) Financial Accounting. D) Cost of good sold. Show Answer Correct Answer: B) Cost. 13. Based on cost classification based on volume, sales commissions are classified as ..... A) Variable cost. B) Fixed cost. C) Mixed cost. D) Relevant range. Show Answer Correct Answer: A) Variable cost. 14. Financial accounting reports are general-purpose and intended for external users. TRUE OR FALSE? A) True. B) False. Show Answer Correct Answer: A) True. 15. Opening inventory + purchases-closing inventory is the formula for A) Cost of goods sold. B) Inventory turnover. Show Answer Correct Answer: A) Cost of goods sold. 16. Managerial accounting reports can be described as A) General-purpose. B) Macro-reports. C) Special-purpose. D) Classified financial statements. Show Answer Correct Answer: C) Special-purpose. 17. Fixed assets are held by business for ..... A) Converting into cash. B) Generating revenue. C) Resale. D) None of the above. Show Answer Correct Answer: B) Generating revenue. 18. True or False:Within the relevant range, the price behavior is valid A) True. B) False. Show Answer Correct Answer: B) False. 19. Any object for which costs or measures are assigned A) Cost object. B) Period object. C) Product object. D) Standard cost. Show Answer Correct Answer: A) Cost object. 20. What is the meaning of management accounting? A) Measuring, describing, or providing certainty regarding information that will help managers, investors, tax authorities and other decision makers make resource allocation decisions within companies, non-profit organizations, and government agencies. B) An accounting system that is related to the use of accounting information by the managerial level of an organization. C) A procedure for recording and reporting measurement results of the costs of producing goods or services. Its main function is to accumulate costs for inventory valuation and revenue determination. D) An art or principle related to organizing, such as planning, building an organization and its organization, movement, and control or supervision. Show Answer Correct Answer: B) An accounting system that is related to the use of accounting information by the managerial level of an organization. ← PreviousNext →Related QuizzesAccounting QuizzesManagerial Accounting Quiz 1Managerial Accounting Quiz 2Managerial Accounting Quiz 3Managerial Accounting Quiz 4Managerial Accounting Quiz 5Managerial Accounting Quiz 6Managerial Accounting Quiz 7Managerial Accounting Quiz 8Managerial Accounting Quiz 9 🏠 Back to Homepage 📘 Download PDF Books 📕 Premium PDF Books