Top 150+ Solved Accounting for Management MCQ Questions Answer
Q. Cash flow statement is a statement which describes inflows and outflows of……
a. cash
b. cash and cash equivalents
c. working capital
d. all of these
Q. Cash, according to cash flow statement comprises of ……………
a. liquid cash only
b. cash in hand
c. cash in hand and demand deposits with banks
d. none of these
Q. ………are short term , highly liquid investments that are readily convertibleinto known amounts of cash and which are subject to an insignificant risk of changes in value.
a. cash equivalents
b. short term investments
c. marketable securities
d. all of these
Q. Flow of cash is said to have taken place when any transactions makeschanges in the amount of ………….before happening of the transactions.
a. cash
b. cash equivalents
c. both of these
d. none of these
Q. Which among the following are examples of cash flow from operatingactivities ?
a. cash receipts from sale of goods
b. cash receipts from royalties
c. cash payments to suppliers
d. all of these
Q. Which among the following is not an example of cash flow from operatingactivities ?
a. cash payments of insurance premiums
b. cash payments of income taxes
c. cash payments to employees
d. cash receipts from disposal of fixed assets
Q. The essence of marginal costing is that ……………… cost is considered onthe whole as separate.
a. fixed
b. variable
c. both of these
d. none of these
Q. ………….cost represents the amount of any given volume of output by whichaggregate costs are changed if the volume of output is increased by one unit.
a. variable cost
b. marginal cost
c. fixed cost
d. none of these
Q. ………. Is the increase or decrease in total cost which results from producing or selling additional or fewer units of a product or from a change in the method of production or distribution such as the use of improvedmachinery, addition or exclusion of a product or territory or selection of an additional sales channel.
a. variable cost
b. marginal cost
c. fixed cost
d. none of these
Q. …………cost is defined as the aggregate of variable costs or prime costs plusvariable overheads.
a. variable cost
b. marginal cost
c. fixed cost
d. none of these
Q. Under marginal costing, ……… Costs are regarded as costs of the products.
a. variable costs
b. fixed costs
c. both of these
d. none of these
Q. Under marginal costing, …………… costs are treated as period costs andcharged to profit and loss account for the period for which they are incurred
a. variable costs
b. fixed costs
c. both of these
d. none of these
Q. Under marginal costing, stocks of finished goods and work-in-process arevalued at …………….. costs only
a. variable costs
b. fixed costs
c. marginal cost
d. none of these
Q. ………………..is the excess of sales over marginal cost of sales
a. profit
b. margin
c. loss
d. contribution