This quiz works best with JavaScript enabled. Home > Finance > Accounting > Managerial Accounting > Managerial Accounting – Quiz 14 🏠 Homepage 📘 Download PDF Books 📕 Premium PDF Books Managerial Accounting Quiz 14 (30 MCQs) Quiz Instructions Select an option to see the correct answer instantly. 1. Some managerial accounting reports contain costs not incorporated in the basic accounting system. A) True. B) False. Show Answer Correct Answer: A) True. 2. Producing raw goods into finished goods is a characteristic of the company: A) Banking. B) Trade. C) Manufacture. D) Service. Show Answer Correct Answer: C) Manufacture. 3. The price that a manufacturer recommends retailers sell the product. A) MDRP. B) MSRP. C) MRSP. D) MASP. Show Answer Correct Answer: B) MSRP. 4. Cost of products being processed and not yet completed at the end of the period is called A) Work in process. B) Raw materials. C) Manufacturing overhead. D) Finished goods. Show Answer Correct Answer: A) Work in process. 5. Is the following direct labor, direct materials, manufacturing overhead, or period costs?Salaries for factory employees A) Manufacturing overhead. B) Period costs. C) Direct materials. D) Direct labor. Show Answer Correct Answer: A) Manufacturing overhead. 6. The following are management functions, except A) Organizing. B) Activity. C) Controlling. D) Actuating. E) Planning. Show Answer Correct Answer: B) Activity. 7. A plan or procedure to follow in case an existing plan or procedure fails. A) Contingency Plan. B) Backup Plan. Show Answer Correct Answer: A) Contingency Plan. 8. The goal of managerial accounting is to provide the information that managers need for all of the following except: A) Review. B) Planning. C) Control. D) Decision Making. Show Answer Correct Answer: A) Review. 9. Identify whether the following statement are true or false.Preparation of budget is part of Managerial accounting. A) False. B) True. Show Answer Correct Answer: B) True. 10. Which of the following is an example of manufacturing overhead expense in a factory? A) Salaries of salespersons. B) Wages of factory maintenance personnel. C) Wages of machine operators. D) Wages of administrators in the corporate office. Show Answer Correct Answer: B) Wages of factory maintenance personnel. 11. The budget schedule that projects the inflow of money from cash sales and money received on account, and any other receipt of cash. A) Cash receipts budget schedule. B) Cash Flow Statement. C) Cash Inflow Statement. D) None of above. Show Answer Correct Answer: A) Cash receipts budget schedule. 12. Performance report does: A) Analyze the difference between budgeted and actual sales, costs, and expenses. B) Are prepared frequently for constant monitoring. C) Identify significant and/or unfavorable differences needing corrective actions. D) All of the above. Show Answer Correct Answer: D) All of the above. 13. Fixed or Variable?Transport costs A) Fixed. B) Variable. Show Answer Correct Answer: B) Variable. 14. Identify whether the item being described by the statement is Competence, Confidentiality, Credibility or Integrity: "Disclose all information that would reasonably be expected to influence an intended user's understanding of the reports, analyses, or recommendation." A) Credibility. B) Confidentiality,. C) Integrity. D) Competence. Show Answer Correct Answer: A) Credibility. 15. Calculate the selling price variance for the following scenario. Karen's Office Supply sells a calculator for $ 50. A new business began selling the same calculator which forces Karen's to sell the calculator for $ 44 a piece. Karen's sold 4, 000 calculators during the accounting period at this price. A) $ 16, 000. B) $ 12, 000. C) $ 8, 000. D) $ 20, 000. Show Answer Correct Answer: B) $ 12, 000. 16. Selected financial information for Dier Manufacturing is presented in the following table (000s omitted). Sales revenue $ 4300Purchases of direct materials $ 500Direct labor $ 460Manufacturing overhead $ 710Operating expenses $ 690Beginning raw materials inventory $ 220Ending raw materials inventory $ 200Beginning work in process inventory $ 390Ending work in process inventory $ 420Beginning finished goods inventory $ 280Ending finished goods inventory $ 250 What was the cost of direct materials used? A) $ 500. B) $ 520. C) $ 720. D) $ 420. Show Answer Correct Answer: B) $ 520. 17. What are indirect costs? A) Direct labor is the wages of employees who make a company's products. B) To finance something is to borrow money in order to purchase it. C) Are costs such as rents and insurance premiums that stay the same regardless of the volume of production. D) Is an expense that stays the same regardless of the volume of production. Show Answer Correct Answer: D) Is an expense that stays the same regardless of the volume of production. 18. A static budget contains which of the following amounts? A) Budgeted costs for budgeted output. B) Actual costs for actual output. C) Actual costs for budgeted output. D) Budgeted costs for actual output. Show Answer Correct Answer: A) Budgeted costs for budgeted output. 19. A loan payment is a fixed expense. A) True. B) False. Show Answer Correct Answer: A) True. 20. Decision maker for managerial accounting A) Managers. B) Investors. C) Creditors. D) External. Show Answer Correct Answer: A) Managers. 21. Which of the following statements represents a similarity between financial and management accounting? A) Both are useful in providing information for external users. B) Both draw upon data from an organisation's basic accounting system. C) Reporting of financial statements is similar. D) Both must comply with Australian accounting standards. Show Answer Correct Answer: B) Both draw upon data from an organisation's basic accounting system. 22. An example of factory overhead is A) CEO salary. B) Wage of workers in assembly line. C) Raw materials used for product. D) Electricity used to run assembly line. Show Answer Correct Answer: D) Electricity used to run assembly line. 23. ..... gathers, summarizes, and reports on the financial impact of changes to business operations. A) Managerial Accounting. B) Directing. C) Controlling. D) Planning. Show Answer Correct Answer: A) Managerial Accounting. 24. What are Outstanding Expenses? A) Expenses which are not paid off in the current balance sheet. B) The necessary purchases that keep a business going from day-to-day. C) Type of expense that is due but has not been paid. D) None of the above. Show Answer Correct Answer: C) Type of expense that is due but has not been paid. 25. A shop that tailors batik shirts to sell as souvenirs to tourists. Determine the standard cost of producing 1 shirt as follows:the cost of 2 yards of batik fabric, 150 baht each, the labor cost of the tailor. It is set to take 1.5 hours/each, paying labor costs of 300 baht per hour. Other production expenses are set at 100 baht/direct labor hour from the above information. What is the standard cost of production overhead? A) 300 baht. B) 450 baht. C) 100 baht. D) 400 baht. E) 150 baht. Show Answer Correct Answer: E) 150 baht. 26. 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) 2:1. C) 1:2. D) 1:5. Show Answer Correct Answer: A) 5:1. 27. 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) Corporate Planning. B) Operational Planning. C) Business Planning. D) Financial Planning. Show Answer Correct Answer: B) Operational Planning. 28. Managerial accounting reports generally pertain to ..... of a business and may be very detailed. A) Product. B) Planning. C) Subunits. D) Special. Show Answer Correct Answer: C) Subunits. 29. Primarily concerned with external users and reports pertain to the entity as a whole. A) Financial accounting. B) Direct materials. C) Managerial accounting. D) Value chain. Show Answer Correct Answer: A) Financial accounting. 30. The amount of sales required to cover all costs at which net income is zero. A) Margin of Safety. B) Zero income point. C) Break-Even Point. D) Neutrality Point. Show Answer Correct Answer: C) Break-Even Point. ← PreviousNext →Related QuizzesAccounting QuizzesFinance QuizzesManagerial Accounting Quiz 1Managerial Accounting Quiz 2Managerial Accounting Quiz 3Managerial Accounting Quiz 4Managerial Accounting Quiz 5Managerial Accounting Quiz 6Managerial Accounting Quiz 7Managerial Accounting Quiz 8 🏠 Back to Homepage 📘 Download PDF Books 📕 Premium PDF Books