This quiz works best with JavaScript enabled. Home > Finance > Accounting > Managerial Accounting > Managerial Accounting – Quiz 5 🏠 Homepage 📘 Download PDF Books 📕 Premium PDF Books Managerial Accounting Quiz 5 (30 MCQs) Quiz Instructions Select an option to see the correct answer instantly. 1. Northern Pacific Furniture Company sells a single product for P28 per unit. If variable expenses are 65% of sales and fixed expenses total P9, 800, the break-even point will be: A) Look, 800. B) P15, 077. C) P18, 200. D) P28, 000. Show Answer Correct Answer: D) P28, 000. 2. Company A assigns manufacturing overhead to WIP inventory using direct labor cost. Actual labor cost:200 000Estimated labor cost:180 000Estimated overhead:75 000Actual overhead:72 000Whats is the predetermined overhead rate? A) 0.375. B) 0.417. C) 0.36. D) 0.4. Show Answer Correct Answer: B) 0.417. 3. Costs that vary according to production volume are called: A) Semi variable costs. B) Fixed cost. C) Production cost. D) Variable costs. Show Answer Correct Answer: D) Variable costs. 4. Managerial accounting applies to each of the following types of businesses except A) Service firms. B) Merchandising firms. C) Manufacturing firms. D) Managerial accounting applies to all types of firms. Show Answer Correct Answer: D) Managerial accounting applies to all types of firms. 5. Direct labor and overhead costs are called costs? A) Variable. B) Production. C) Conversion. D) Still. Show Answer Correct Answer: C) Conversion. 6. Managerial accounting reports are done after an audit every month A) False. B) True. Show Answer Correct Answer: A) False. 7. If the Market value of closing Inventory is less than its cost price, inventory willhe shown at ..... A) Marketable value. B) Fair Market value. C) Both. D) None. Show Answer Correct Answer: A) Marketable value. 8. Accounts that continuing existing even after the end of the accounting year are known as: A) Real accounts. B) Permanent accounts. C) Nominal accounts. D) Revenue accounts. Show Answer Correct Answer: A) Real accounts. 9. Who is the mayor of GCS A) WHOLESALE. B) Constantino. C) Lorelie. D) Acharon. Show Answer Correct Answer: A) WHOLESALE. 10. Fixed or Variable?Salaries A) Variable. B) Fixed. Show Answer Correct Answer: B) Fixed. 11. BOBS Corporation began operations on January 1st. During the year, it started and completed 2, 700 units of product. The company incurred the following costs:Raw materials purchased and used-$ 5, 600Wages of production workers-$ 6, 890.Salaries of administrative and sales personnel-$ 2, 450.Depreciation on manufacturing equipment-$ 4, 280.Depreciation on administrative equipment-$ 7, 010.BOBS corporation sold 2, 100 units of product.Determine cost of ending inventory A) $ 4, 794. B) $ 3, 726. C) $ 3, 196. D) $ 2, 484. Show Answer Correct Answer: B) $ 3, 726. 12. Which of the following would likely NOT be included in manufacturing overhead A) The workman's compensation insurance of the supervisor who oversees production. B) The cost of the glue in the chair. C) The amount paid to the individual who stains chairs. D) The factory utilities of the department in which production takes place. Show Answer Correct Answer: C) The amount paid to the individual who stains chairs. 13. All of the costs required to manufacture a finished product that are not related to the direct materials or direct labor costs. Examples include maintenance of the factory and utilities. A) Factory Overhead. B) Indirect Materials. C) Indirect Costs. D) None of above. Show Answer Correct Answer: A) Factory Overhead. 14. Designed to collect transactional data that provides a foundation for preparing internal exports that support decision making within the enterprise A) Reconciliation Account. B) Managerial Accounting (Controlling). Show Answer Correct Answer: B) Managerial Accounting (Controlling). 15. Planning is what oriented? A) Past oriented. B) Future oriented. C) Present oriented. D) None of above. Show Answer Correct Answer: B) Future oriented. 16. The primary objective of management accounting is A) To provide shareholders and potential investors with useful information for decisionmaking. B) To provide banks and other creditors with information useful in making credit decisions. C) To provide management with information useful for planning and control of operations. D) To provide the relevant taxation authorities with information about taxable income. Show Answer Correct Answer: C) To provide management with information useful for planning and control of operations. 17. The statement of cash flows reports cash receipts and cash payments for a period of time. A) False. B) True. Show Answer Correct Answer: B) True. 18. A comparison of a budgeted income statement to actual results. Managers use this to create more accurate future budgets as well as to make operational corrections midyear, if necessary, to improve the results for the remainder of the year. A) Budget Schedule. B) Budget Income Statement. C) Budget Performance Report. D) Budget Variance Report. Show Answer Correct Answer: D) Budget Variance Report. 19. Operating profit increases by the unit contribution margin for each unit sold. A) False. B) True. Show Answer Correct Answer: B) True. 20. Which alternative will most likely see a increase in net income due to an increased contribution margin? A) Sales price reduction and sales volume increase. B) Decreasing variable costs. C) Decreasing fixed costs. D) None of above. Show Answer Correct Answer: B) Decreasing variable costs. 21. What is the formula to calculate net profit? A) Total revenue / Total expenses. B) Total revenue + Total expenses. C) Total revenue-Total expenses. D) Total revenue * Total expenses. Show Answer Correct Answer: C) Total revenue-Total expenses. 22. Career planning consists of all positions. A) True. B) False. Show Answer Correct Answer: A) True. 23. Used to help compute cash flows from operating activities. A) Comparative Balance Sheets. B) Current Income Statement. C) Additional Information. D) This is the wrong answer. Show Answer Correct Answer: B) Current Income Statement. 24. Looking back, determining what actually happened and comparing it with previously planned outcomes is the meaning of? A) Planning. B) Long-term plan. C) Short-term plan. D) Control. E) Budget. Show Answer Correct Answer: D) Control. 25. Which outside parties would be interested in reviewing financial reports? A) Managers. B) SEC/IRS. Show Answer Correct Answer: B) SEC/IRS. 26. The combination of direct labor and factory overhead costs used in process costing. A) Conversion Costs. B) Opportunity costs. C) Total Costs. D) None of above. Show Answer Correct Answer: A) Conversion Costs. 27. Rent expense incurred on a factory building would be treated as a/an A) Period cost. B) Both product cost and indirect cost. C) Product cost. D) Indirect cost. Show Answer Correct Answer: B) Both product cost and indirect cost. 28. Which of the following is incorrect? A) Good will intangible asset. B) Sundry debtors-current asset. C) Loose tools tangible fixed asset. D) Outstanding expenses-current asset. Show Answer Correct Answer: D) Outstanding expenses-current asset. 29. BOBS Corporation began operations on January 1st. During the year, it started and completed 2, 700 units of product. The company incurred the following costs:Raw materials purchased and used-$ 5, 600Wages of production workers-$ 6, 890.Salaries of administrative and sales personnel-$ 2, 450.Depreciation on manufacturing equipment-$ 4, 280.Depreciation on administrative equipment-$ 7, 010.BOBS corporation sold 2, 100 units of product.Determine the total product cost for the year. A) $ 19, 500. B) $ 13, 740. C) $ 23, 780. D) $ 16, 770. Show Answer Correct Answer: D) $ 16, 770. 30. Which of the following best describes the production budget? A) It is calculated from the desired ending inventory and the sales forecast. B) It includes required direct labor hours. C) It includes required material purchases. D) It aggregates the monetary details of the operating budget. Show Answer Correct Answer: A) It is calculated from the desired ending inventory and the sales forecast. ← PreviousNext →Related QuizzesAccounting QuizzesFinance QuizzesManagerial Accounting Quiz 1Managerial Accounting Quiz 2Managerial Accounting Quiz 3Managerial Accounting Quiz 4Managerial Accounting Quiz 6Managerial Accounting Quiz 7Managerial Accounting Quiz 8Managerial Accounting Quiz 9 🏠 Back to Homepage 📘 Download PDF Books 📕 Premium PDF Books