Management Accounting Set 15
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This set of Management Accounting Multiple Choice Questions & Answers (MCQs) focuses on Management Accounting Set 15
Q1 | 20,000 equity shares of Rs.10 each issued at 10% premium , cash is Rs-------------------
- Rs.2,00,000
- Rs.2,10,000
- Rs.2,15,000
- Rs.2,20,000
Q2 | Preliminary expenses written off is--------
- Cash transaction
- Non-cash transaction
- Credit transaction
- None of the above
Q3 | Investment costing Rs.50,000 at the loss of Rs.3,000 cash outflow in investing activity is --------
- Rs.53,000
- Rs.50,000
- Rs.47,000
- Rs.48,000
Q4 | Cash from operations is equal to------------------
- net profit after tax
- net profit plus increase in current asset
- net profit plus decrease in current liabilities
- net profit plus non-cash expenses plus decrease in current assets.
Q5 | Increase in the amount of bills receivable results in--------------
- decrease in cash
- increase in cash
- no change in cash
- none of these
Q6 | Increase in the amount of bills payable results in----------
- Decrease in cash
- Increase in cash
- No change in cash
- None of these
Q7 | Which of the following is not an inflow of cash
- Sale of fixed asset
- Issue of debentures for cash
- Funds from operation
- Acquisition of assets
Q8 | Dividend paid under AS- 3 is----------
- Cash flow from financing activity
- Cash flow from operating activity
- Cash flow from investing activity
- None of these
Q9 | Cash flows include
- Cash payments only
- Cash receipts only
- Cash receipts and payments
- Cash and noncash incomes and expenses.
Q10 | Cash flow statement is based on----------
- Cash basis of accounting
- Accounting equation
- Accrual basis of accounting
- None of these
Q11 | Proposed dividend is classified as-----------
- Investing activity
- Financing activity
- Operating activity
- Cash equivalent
Q12 | Profit on sale of machinery comes under------------
- Investing activity
- Financing activity
- Operating activity
- None of these
Q13 | Sale of patent is classified under---------
- Investing activity
- Financing activity
- Operating activity
- None of these
Q14 | Rent received by a company (whose main business is real estate) is classified as
- Investing activity
- Financing activity
- Operating activity
- Cash equivalent
Q15 | AS-3 is related to
- Cash flow statement
- Funds flow statement
- Balance sheet
- Income statements
Q16 | The information to prepare a flexible budget includes:
- Total fixed cost, total variable cost
- Total fixed cost, total variable cost and capacity base
- Unit fixed cost and unit variable cost
- Total fixed cost, variable cost per unit, several levels of activity
Q17 | The scarce factor of production is known as
- Key factor
- Linking factor
- Critical factor
- All of the above
Q18 | Which of the following is a budget designed to furnish budgeted costs for any level of activity attained
- Fixed budget
- Flexible budget
- Master budget
- Production budget
Q19 | Flexible budgets are useful for
- Planning purpose only
- Planning, performance evaluation and feedback control
- Control of performance only
- Nothing at all
Q20 | The budget that summarize future plans for acquisition of plant facilities and equipment is the
- Cash budget
- Sales budget
- Capital expenditure budget
- None of the above
Q21 | A report comparing actual results with the budget figure is called a ___________
- Budget report
- Budget performance report
- Flexible budget report
- None of the above
Q22 | Profit plan(or budget) is a
- Long term financial plan
- Short term financial plan
- Long term non financial plan
- Short term non financial plan
Q23 | The objectives, procedures, organizational structure and authority and responsibility in writing about a budget is shown in
- Budget manual
- Budget plans
- Budget titles
- None of the above
Q24 | Which budget is prepared after the preparation of all functional budgets
- Flexible budget
- Cash budget
- Master budget
- Production budget
Q25 | The overall responsibility for the functions of the budget committee lies on the _____________
- Chief accountant
- Financial executive or controller
- Budget director or budget officer
- Top management