Top 150+ Solved Cost and Management Accounting MCQ Questions Answer
Q. The budget prepared to estimate expenditure to be incurred to sell the product and its distribution is .
a. Production overhead budget.
b. Administration overhead budget.
c. Selling and distribution overhead budget.
d. Master budget
Q. The budget prepared to estimate the research and development expenditure to be incurred during aspecific period is .
a. Production overhead budget.
b. Administration overhead budget.
c. Selling and distribution overhead budget.
d. Research and development budget.
Q. The budget prepared to estimate the expenditure on fixed assets is known as.
a. Capital expenditure budget
b. Production overhead budget.
c. Administration overhead budget.
d. Selling and distribution overhead budget.
Q. The budget prepared for replacement of assets, expansion of production facilities, adoption of new technologies etc. is .
a. Capital expenditure budget.
b. Production overhead budget.
c. Administration overhead budget.
d. Selling and distribution overhead budget.
Q. A fixed budget is prepared for only .
a. One level of activity.
b. Range of activity.
c. Two level of activity.
d. Three level of activity.
Q. A flexible budget is prepared for a _.
a. One level of activity.
b. Range of activity.
c. Two level of activity.
d. Three level of activity.
Q. The budget starts without any base is .
a. Master budget.
b. Flexible budget.
c. Zero base budgeting.
d. Fixed budget.
Q. ABC analysis is .
a. At Best Control.
b. Always Better Control.
c. Average better Control.
d. All best control.
Q. JIT inventory system is .
a. . Just In Time.
b. Just Inventory Time.
c. Job In Time.
d. Job Inventory Time.
Q. Perpetual inventory system involves .
a. bincard and stores ledger.
b. bill of material and material requisition.
c. purchase requisition and purchase order.
d. inward and outward invoices.
Q. FIFO is .
a. Fast Investment in Future Order.
b. First In First Out.
c. Fast In Fast Out
d. Fast Issue Of Fast Order.
Q. LIFO method of pricing of materials is more suitable when.
a. material prices are rising.
b. material prices are falling.
c. material prices are constant.
d. material prices are fluctuating.
Q. Average method of pricing the material issues is useful when .
a. material prices are rising.
b. material prices are falling.
c. material prices are constant.
d. material prices are fluctuating.
Q. Scrap is .
a. residue of material.
b. wastage of material.
c. surplus material.
d. abnormal loss of material.
Q. Material is issued by store keeper against.
a. material requisition.
b. material order.
c. goods received note.
d. purchase requisition.