This quiz works best with JavaScript enabled. Home > Finance > Accounting > Managerial Accounting > Managerial Accounting – Quiz 9 🏠 Homepage 📘 Download PDF Books 📕 Premium PDF Books Managerial Accounting Quiz 9 (30 MCQs) Quiz Instructions Select an option to see the correct answer instantly. 1. Management accounting is the branch of accounting concerned with reporting to A) The government. B) Shareholders. C) Internal managers. D) Bankers. Show Answer Correct Answer: C) Internal managers. 2. Selling and administrative expenses are A) Direct costs. B) Product costs. C) Period costs. D) Prime costs. Show Answer Correct Answer: C) Period costs. 3. A costs that are matched with the revenue of a specific time period rather than included as part of the cost of a salable product. These are non manufacturing costs which includes selling and administrative expenses. A) Period Cost. B) Fixed Cost. C) Product Cost. D) Variable Cost. Show Answer Correct Answer: A) Period Cost. 4. Fixed or Variable?Raw materials A) Variable. B) Fixed. Show Answer Correct Answer: A) Variable. 5. Which is future oriented? A) Financial Accounting. B) Managerial Accounting. Show Answer Correct Answer: B) Managerial Accounting. 6. Managerial accounting is designed for use by: A) Clients. B) Internal users. C) Stockbrokers. D) External users. Show Answer Correct Answer: B) Internal users. 7. Which of the following does not represents the characteristics of Management Accounting? A) Helps in finding out cost of products and control costs. B) Helps in finding out cost of products and control costs. C) Helps in identifying the financial position of the business. D) Process of determining and accumulating the cost of products or activity. Show Answer Correct Answer: C) Helps in identifying the financial position of the business. 8. Identify whether the following statement are true or false.Financial accounting focuses on providing information to internal users A) True. B) False. Show Answer Correct Answer: B) False. 9. What does the cash budget project? A) The inflow and outflow of money for a specific time period. B) The outflow of cash for a specific time period. C) The inflow of cash for a specific time period. D) None of these. Show Answer Correct Answer: A) The inflow and outflow of money for a specific time period. 10. In managerial accounting the data provided can be A) Quantitative. B) Qualitative. C) Both Qualitative & Quantitative. D) Only Quantitative. Show Answer Correct Answer: C) Both Qualitative & Quantitative. 11. Under absorption costing, the company calculates gross margin A) False. B) True. Show Answer Correct Answer: B) True. 12. The costs associated with the production of goods. A) Manufacturing costs. B) Variable costs. C) Service costs. D) Fixed costs. Show Answer Correct Answer: A) Manufacturing costs. 13. What kind of expenses are paid from Gross Profit? A) Selling Expenses. B) Financial Expenses. C) General Expenses. D) All of the above. Show Answer Correct Answer: D) All of the above. 14. Are the cost that are expensed during the time period in which they are incurred. A) Expenses. B) Product Cost. C) Cost. D) Period Cost. Show Answer Correct Answer: D) Period Cost. 15. The setting of objectives and the identification of methods to achieve those objectives is called A) Decision making. B) Performance evaluation. C) Planning. D) Controlling. Show Answer Correct Answer: C) Planning. 16. Which reports the information needed to run the day to day operations of the business? A) Managerial Accounting. B) Financial Accounting. Show Answer Correct Answer: A) Managerial Accounting. 17. The labor costs directly required to produce a product. For example, the salary and benefits of those employees who are working directly on producing a product are considered it. A) Direct Labor. B) Total Labor. C) Indirect Labor. D) None of above. Show Answer Correct Answer: A) Direct Labor. 18. Which of the following would not be an example of a value-added activity? A) Excellent customer service. B) Offering the customer a variety of products. C) Timely delivery of products. D) Storage of finished products. Show Answer Correct Answer: D) Storage of finished products. 19. Includes details that help explain cash flows and noncash activities. A) Comparative Balance Sheets. B) This is the wrong answer. C) Current Income Statement. D) Additional Information. Show Answer Correct Answer: D) Additional Information. 20. Red Manufacturing produces a product at $ 25 per unit price, sells 1, 000 units and accrues $ 10, 500 in variable cost. Which of the following is the contribution margin per unit? A) $ 12.50. B) $ 13.50. C) $ 14.50. D) $ 11.50. Show Answer Correct Answer: C) $ 14.50. 21. Management Accounting guides ..... on decision making. A) Employee. B) Managers. C) Teachers. D) Accountant. Show Answer Correct Answer: B) Managers. 22. Analyzing previous years' data; locating budget information; setting goals for the next fiscal year; developing a plan to meet the goals; forecasting the effects of the budget decisions; and monitoring, evaluating, and updating the budget as needed are all part of what? A) Budget Process. B) Financial Accounting. C) Managerial Accounting. D) None of above. Show Answer Correct Answer: A) Budget Process. 23. Prime cost includes A) Direct materials, direct wages and indirect expenses. B) Indirect materials and indirect labour and indirect expenses. C) Direct materials, direct wages and direct expenses. D) Direct materials, indirect wages and indirect expenses. Show Answer Correct Answer: C) Direct materials, direct wages and direct expenses. 24. Capital + Liabilities =? A) Assets. B) Unearned Income. C) Revenue. D) Voucher. Show Answer Correct Answer: A) Assets. 25. How many inventory in SOFP for a manufacturing business? A) 3. B) 4. C) 5. D) 1. Show Answer Correct Answer: A) 3. 26. Managerial accounting is A) In conformity with GAAP. B) Backwards looking. C) Used for external users. D) Used for internal users. Show Answer Correct Answer: D) Used for internal users. 27. The form and content of reports can influence decisions made by managers. A) FALSE. B) TRUE. Show Answer Correct Answer: B) TRUE. 28. Which of the following listings correctly describes the order in which the four types of budgets must be prepared? A) Sales, production, direct materials purchases, cash disbursements. B) Sales, direct materials purchases, production, cash disbursements. C) Production, direct materials, sales, cash disbursements. D) Cash disbursements, direct materials purchases, production, sales. Show Answer Correct Answer: A) Sales, production, direct materials purchases, cash disbursements. 29. Which of the following are associated with Control? A) Specifies the resources needed to achieve the company goals. B) Evaluating managers to determine how their performance should be rewarded or punished. C) Evaluating operations to provide information as to whether they should be changed or not. D) Communicate's a company's goals to employees. Show Answer Correct Answer: C) Evaluating operations to provide information as to whether they should be changed or not. 30. How do you find direct materials A) Beg raw materials + Purchases-End raw materials. B) Beg raw materials-Purchases + End raw materials. C) Beg WIP + Total manufacturing cost for the period-End WIP. D) Beg raw materials + Purchases + End raw materials. Show Answer Correct Answer: A) Beg raw materials + Purchases-End raw materials. ← 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