Top 150+ Solved Cost and Management Accounting MCQ Questions Answer
Q. Basic objectives of cost accounting is .
a. tax compliance.
b. financial audit.
c. cost ascertainment.
d. profit analysis.
Q. Direct cost incurred can be identified with .
a. each department.
b. each unit of output.
c. each month.
d. each executive.
Q. Overhead cost is the total of .
a. all indirect costs.
b. all direct costs.
c. indirect and direct costs.
d. all specific costs.
Q. Operating costing is suitable for .
a. job order business.
b. contractors.
c. sugar industries.
d. service industries.
Q. Process costing is suitable for .
a. hospitals.
b. oil reefing firms.
c. transport firms.
d. brick laying firms.
Q. Costing refers to the techniques and processes of
a. ascertainment of costs.
b. allocation of costs.
c. apportion of costs.
d. distribution of costs.
Q. Cost accounting was developed because of the .
a. limitations of the financial accounting.
b. limitations of the management accounting.
c. limitations of the human resource accounting.
d. limitations of the double entry accounting.
Q. Multiple costing is a technique of using two or more costing methods for ascertainment of cost by.
a. the same firm.
b. the several firms.
c. the same industry.
d. the several industries.
Q. Wages paid to a labour who was engaged in production activities can be termed as.
a. direct cost.
b. indirect cost.
c. sunk cost.
d. imputed cost.
Q. The cost which is to be incurred even when a business unit is closed is a.
a. imputed cost.
b. historical cost.
c. sunk cost.
d. Shutdown cost.
Q. Classification of cost is useful .
a. to find gross profit.
b. to find net profit.
c. to identify costs.
d. to identify efficiency.
Q. Direct expenses are also called .
a. major expenses.
b. chargeable expenses.
c. overhead expenses.
d. sundry expenses.