Top 150+ Solved Accounting for Management MCQ Questions Answer
Q. ………………..cost remains constant per unit of output irrespective of thelevel of output and thus fluctuates directly in proportion to changes in the volume of output
a. variable costs
b. fixed costs
c. marginal cost
d. none of these
Q. …………..costs are the increase or decrease in total cost that result fromproducing additional or fewer units or from the adoption of an alternative course of action.
a. variable costs
b. fixed costs
c. marginal cost
d. differential cost
Q. Marginal cost and differential cost are the same when ……..costs do notchange with change in output
a. variable costs
b. fixed costs
c. semi variable cost
d. none of these
Q. ………………is the practice of charging all costs, both variable and fixed, tooperations, processes, or products
a. marginal costing
b. absorption costing
c. differential costing
d. none of these
Q. In absorption costing, managerial decision making is based upon …………..
a. profit
b. contribution
c. costs
d. none of these
Q. Given sales = 150000, Fixed costs = 30000, Profit = 40000.The variablecost is………….
a. 110000
b. 80000
c. 120000
d. 10000
Q. The Profit/Volume ratio or marginal ratio expresses the relation of …………to sales.
a. profit
b. marginal cost
c. contribution
d. none of these
Q. Which of the following measures helps to increase the P/V Ratio ?
a. increasing the selling price per unit
b. reducing the variable or marginal cost
c. changing the sales mixture
d. all of these
Q. Given sales = 100000, Profit = 10000 , variable cost = 70%.The salesrequired to earn a profit of Rs.40000 is ………………………
a. 1500000
b. 100000
c. 200000
d. none of these
Q. Marginal cost is the ……….cost of producing an additional unit of output
a. variable
b. fixed
c. semi variable
d. none of these
Q. Profit Volume ratio is the ratio of ……………. To sales
a. contribution
b. profit
c. sales
d. none of these
Q. …………..is the angle caused by intersection of total cost line and totalsales line
a. angle of contribution
b. angle of incidence
c. all of these
d. none of these
Q. At Break even point contribution will be equal to …………….
a. variable cost
b. fixed cost
c. profit
d. none of these
Q. The ratio of contribution to ……………. Is called P/V ratio
a. volume
b. sales
c. profit
d. none of these
Q. Marginal cost is the aggregate of prime cost and ……………….
a. fixed overheads
b. variable overheads
c. contribution
d. none of these