Management Accounting Set 3
On This Page
This set of Management Accounting Multiple Choice Questions & Answers (MCQs) focuses on Management Accounting Set 3
Q1 | Which items are added in Current year profit to get Net profit before tax.I)Interim dividend II)Provision for tax III)Refund of tax IV)Transfer to reserves
- All
- Only III
- Only II and IV
- Only I,II and IV
Q2 | Which are financing activities?I)Issue of shares II)Interest Paid III)Dividend paid IV)Redemption of debentures
- All
- Only I,II and IV
- Only I and IV
- Only I,III and IV
Q3 | Which of the following is not the objective of budgetary control?I)ControlII)Danger of rigidityIII)MotivationIV)Based on estimates
- Only II
- Only II and IV
- Only II,III and IV
- All I,II,III and IV
Q4 | Which of the following is the limitation of Zero based budgeting.I)Resist new ideas II)Control on expenditure III)Requires proper training IV)Conflicts
- All
- Only I and IV
- Only III and IV
- Only I,III and IV
Q5 | The fixed administration expenses are Rs 50,000 at 10,000 units of production.What will be the per unit fixed cost at 8000 units?
- Rs 5 per unit
- Rs 8.33
- Rs 6.25 per unit
- Rs 10
Q6 | Labour Efficiency Variance is the sum total of I)Labour Mix variance II)Labour Cost Variance III)Idle time Variance IV)Labouryield variance
- Only I and IV
- All
- Only II and III
- Only I,III and IV
Q7 | Total Actual material is 1250 Kg.The Standard qty of Material A=800Kg and B=400Kg.What is the revised Std qty of A and Brespectively.
- 825kg,425Kg
- 950Kg,300Kg
- 833Kg,417Kg
- 750Kg,500Kg
Q8 | AQ=2500Kg ,SP=Rs 2.5,SQ=2400Kg,AP=Rs 3 .Calculate Material Cost variance.
- 1500 F
- 1500 A
- 950 F
- 950 A
Q9 | BE point=40,000 ,Fixed Cost=15,000.Calculate P/V ratio.
- 3.75%
- 0.38%
- 26.66%
- 37.50%
Q10 | Calculate Break Even Point in units if Fixed cost is 15,000 ,SP=15 and VC=12
- 1000 units
- 1250 units
- 1500 units
- 5000 units
Q11 | Calculate Profit if Mos=40%,P/v ratio=50% and Actual Sales=10,00,000.
- 900000
- 500000
- 200000
- 400000
Q12 | Variable cost ratio =80% and Mos=40%.Calculate P/V ratio and BEP(in Percentage) respectively.
- 60%,60%
- 20%,60%
- 60%,20%
- 20%,20%
Q13 | At Break even point,Contribution is equal to .
- Profit
- Variable Cost
- Fixed Cost
- Selling Price
Q14 | Which statement is true.I)Fixed budget assumes Changing business conditions. II)Flexible budget is prepared for only onelevel of activity.
- None is true
- Both are true
- Only I
- Only II
Q15 | Fixed cost=8000,Profit=5600 .Calculate Contribution.
- 8000
- 2400
- 13600
- 5600
Q16 | The wages due from Mar 20 ,Apr 20 and May 20 areRs8000,Rs9000 and Rs 10,000 respectively.There is delay in payment of wages of 2 months.What will be the wages paid in May
- Rs 9000
- Rs 8000
- Rs 10000
- Rs 27000
Q17 | Type of accounting which specialises in providing information about detailed cost of products?
- Cost Accounting
- Management Accounting
- Financial Management
- Financial Accounting
Q18 | What is included in scope of management accounting? I)Internal Control II)Budgeting III)Reporting to management IV)Office Services
- Only II,III,IV
- ALL I,II,III,IV
- Only II and IV
- Only I,II,IV
Q19 | Which of the following is the basis of difference between Financial and Management Accounting?
- Publication and Audit
- Periodic v/s Continuos reporting
- Statutory Requirements
- All of the above
Q20 | What are the objectives of Cost accounting?I)Cost Ascertainment II)Cost Control
- Only I
- Both I & II
- Only II
- None of the Above
Q21 | The status of management accountant is at what level as compared to cost accountant?
- Lower
- Equal
- Higher
- No status at all
Q22 | Which statement is true.I)Financial accounts are prepared according to Accounting Standards. II)Management Accounting reports are also prepared according to accounting standard.
- Only II
- Both I and II
- Only I
- None is true
Q23 | What indicate the relationship of different items of a financial statement with some common item by expressing each item as a percentage of the common item.
- Comparative Statements
- Ratio
- Common size Statements
- None of the Above
Q24 | Which is not the limitation of financial analysis?I)Effect of personal Bias II)Identify Trend III)Judge Efficiency IV)Different accounting policies
- Only I
- Only II and III
- Only II , III and IV
- Only I and IV
Q25 | Given inventory of 24,000, other current assets of 12,000 and current liabilities of 20,000, the acid test (quick ratio) will be:
- 1.8 :1
- 0.6 :1
- 1.2:1
- 1.6 :1