Top 150+ Solved Cost and Management Accounting (CMA) MCQ Questions Answer
Q. ……is the value of a benefit where no actual cost is incurred.
a. imputed
b. sunk
c. out of pocket
d. none of these
Q. ………..is the cost which involves payment to outsiders.
a. out of pocket cost
b. imputed cost
c. notional cost
d. none of these
Q. ……………is the maximum possible alternative earning that might have beenearned if the productive capacity is put to some alternativeuse.
a. opportunity
b. incremental revenue
c. alternative revenue
d. none of these
Q. An item of cost that is direct for one business may be ......................for anotherbusiness.
a. important
b. direct
c. indirect
d. none of the above.
Q. The total of all direct expenses is known as ................... cost.
a. prime
b. works
c. production
d. both a & b
Q. ................ costs are partly fixed and partly variable in relation to output.
a. variable
b. fixed
c. semi-variable
d. both a & b
Q. An opportunity cost is …………………..
a. the advantage foregone
b. the cost
c. the income
d. none of the above.
Q. Works cost is a total of………………
a. indirect material, indirect labour
b. direct material, direct labour, direct or chargeable expenses and works expenses
c. direct material, direct labour
d. indirect material, indirect labour, indirect expenses
Q. An opportunity cost does not involve…………
a. cash outlays
b. direct cost
c. indirect cost
d. none of the above
Q. Variable costs change..................................with change in output.
a. proportionately
b. inversely
c. disproportionately
d. sometimes
Q. Fixed cost per unit................................... with increase in output.
a. decreases
b. increases
c. changes
d. sometimes
Q. Depreciation is… ........................expenditure.
a. fixed
b. variable
c. adjustable
d. semi-variable
Q. Out of pocket costs involve payment to …………………
a. outsiders
b. self
c. employees
d. none of the above
Q. .........................Accounting is not only a positive science but also a normative science because it includes techniques of budgetary controlandstandard costing.
a. financial
b. cost
c. both a & b
d. none of these