Top 80+ Solved Advanced Management Accounting MCQ Questions Answer
Q. A favorable direct materials price variance occurs when:
a. Actual rate of direct materials is higher than standard rate of direct materials
b. Actual rate of direct materials is equal to standard rate of direct materials
c. Actual rate of direct materials is less than standa
d. rate of direct materials
Q. The “standard hours allowed” or “standard quantity allowed” is equal to:
a. Actual output in units × standard input allowed
b. Actual output in units × standard output allowed
c. Actual output in units × standa
d. output allowed
Q. During the month of January, the standard cost of actual hours worked amounted toRs.25, 000, the standard direct labor rate was Rs.10 per hour and the direct labor efficiency variance amounted to Rs.1, 000 favorable. The standard hours allowed for actual production were:
a. 2,500 hours
b. 2,400 hours
c. 10,000 hours
d. 2,600 hours
Q. Which one of the following does measure risk?
a. Coefficient of variation
b. Standard deviation
c. Expect
d. value D. All of the above are measures of risk.
Q. A situation in which a decision maker knows all of the possible outcomes of a decision and also knows the probability associated with each outcome is referred to as
a. Certainty.
b. Risk.
c. Uncertainty.
d. Strategy.
Q. A situation in which a decision maker must choose between strategies that have more thanone possible outcome when the probability of each outcome is unknown is referred to as
a. Diversification.
b. Certainty.
c. Risk.
d. Uncertainty.
Q. Circumstances that influence the profitability of a decision are referred to as
a. Strategies.
b. A payoff matrix.
c. States of nature.
d. The marginal utility of money.
Q. The analysis of a complex decision situation by constructing a mathematical model of thesituation and then performing a large number of iterations in order to determine the probability distribution of outcomes is called
a. Sensitivity analysis.
b. Expected utility analysis.
c. Simulation
d. A decision tree.
Q. The tendency for low-quality cars to drive high quality cars out of the used car market is anexample of
a. Hedging.
b. Adverse selection.
c. Portfolio analysis.
d. Moral hazar
Q. Which of the following is a way to deal with decision making under uncertainty?
a. Simulation
b. Diversification
c. Acquisition of additional information
d. Application of the maximin criterion
Q. ______ is an objective assessment of an individual's performance against well-definedbenchmarks.
a. Performance Appraisal
b. HR Planning
c. Information for goal identification
d. None of the above
Q. what is linked with performance appraisal?
a. J
b. Design B Development
c. Job analysis
d. None of the above
Q. which of the following is an alternate term used for performance appraisal?
a. Quality and quantity of output
b. Job knowledge
c. Employee assessment
d. None of the above
Q. Match the following general applications of performance assessment with their specificpurposes I. Administrative Uses/ Decisions ----- A. Performance Feedback II. Documentation ------ B. Lay - offs III Organizational Maintenance/ Objectives ---- C. Helping to meet legal requirements IV. Developmental Uses ----- D. Evaluation of HR systems
a. I-C, II-D, III-B, IV-A
b. I-B, II-C, III-D, IV-A
c. I-B, II-C, III-D, IV
d. D. I-A, II-B, III-D, IV-C
Q. Which of these is the main purpose of employee assessment?
a. Making correct decisions
b. To effect promotions based on competence and performance
c. Establish job expectations
d. None of the above