Top 150+ Solved Cost and Management Accounting MCQ Questions Answer
Q. The ratio which indicates earnings per share reflected by the market price is .
a. retained earnings ratio.
b. pay out ratio.
c. earnings per share.
d. price earnings ratio.
Q. The ratio establishes the relationship between profit before interest and tax and fixed interest charges is.
a. interest cover ratio.
b. fixed dividend cover ratio.
c. debt service coverage ratio.
d. dividend yield ratio.
Q. The ratio shows the preference dividend as a proportion of profit available for shareholders is .
a. interest cover ratio.
b. fixed dividend cover ratio.
c. debt service coverage ratio.
d. dividend yield ratio.
Q. The dividend is related to the market value of shares in .
a. interest cover ratio.
b. fixed dividend cover ratio.
c. debt service coverage ratio.
d. dividend yield ratio.
Q. . Turnover ratio is also known as .
a. activity ratios.
b. solvency ratios.
c. liquidity ratios.
d. profitability ratios.
Q. Inventory or stock turnover ratio is also called .
a. stock velocity ratio.
b. . debtors velocity ratio.
c. . creditors velocity ratio.
d. working capital turnover ratio.
Q. Which ratio is calculated to ascertain the efficiency of inventory management in terms of capitalinvestment?
a. stock velocity ratio.
b. debtors velocity ratio.
c. creditors velocity ratio.
d. working capital turnover ratio.
Q. The ratio which measures the relationship between the cost of goods sold and the amount of average inventory is
a. Stock turnover ratio.
b. debtors velocity ratio.
c. creditors velocity ratio.
d. working capital turnover ratio.
Q. Sales – Gross Profit = .
a. net profit.
b. administrative expenses.
c. cost of production.
d. cost of goods sol
Q. Opening stock + purchases + direct expenses – closing stock =
a. net profit.
b. cost of production
c. administrative expenses.
d. cost of goods sol
Q. Which ratio measures the number of times the receivables are rotated in a year in terms of sales?
a. stock turnover ratio.
b. debtors turnover ratio.
c. creditors velocity ratio.
d. working capital turnover ratio.
Q. Debtors turnover ratio is also called .
a. stock turnover ratio.
b. debtors velocity ratio.
c. creditors velocity ratio.
d. working capital turnover ratio
Q. Creditors turnover ratio is also called .
a. stock turnover ratio.
b. debtors velocity ratio.
c. . accounts payables ratio.
d. working capital turnover ratio.
Q. The indicates the number of times the payables rotate in a year is _.
a. stock turnover ratio.
b. stock turnover ratio.
c. creditors velocity ratio.
d. working capital turnover ratio.
Q. Funds flow statement is based on the .
a. working capital concept of funds.
b. cash concept of funds.
c. fixed assets concept of funds.
d. long term funds.