Top 550+ Solved Management Accounting MCQ Questions Answer
Q. Financial Statements provide a summary of --------------------------
a. Accounts
b. Assets
c. Liabilities
d. Expenses
Q. When financial statements for a number of years are reviewed and analyzed, the analysis is known as ---------------------
a. Vertical Analysis
b. Internal analysis
c. Horizontal analysis
d. External analysis
Q. When ratios are calculated from the financial statements of one year, it is known as ---------------------
a. Horizontal analysis
b. Vertical analysis
c. Internal Analysis
d. External analysis
Q. Horizontal analysis is also known as -----------------------
a. Static analysis
b. Structural analysis
c. Dynamic analysis
d. None of these
Q. Trend analysis is significant for
a. Forecasting and budgeting
b. Profit planning
c. Capital rationing
d. None of the above
Q. In trend percentage the base year is ----------------------------
a. The first year
b. Last year
c. Any year
d. Second year
Q. Comparative statements are a form of ---------------------------
a. Horizontal analysis
b. Vertical analysis
c. Parallel analysis
d. None of the above
Q. The term financial analysis include both --------- and interpretation
a. Comparison
b. Analysis
c. Conclusion
d. Constructions
Q. Vertical analysis is also known as ------------------
a. Dynamic analysis
b. Static analysis
c. External analysis
d. Internal analysis
Q. The statement prepared to disclose accounting information are known as-----
a. Comparative statements
b. Common size statements
c. Financial statements
d. None of the above
Q. ------------- gives a diagnosis of the profitability and financial position
a. Analysis of financial statements
b. Preparation of financial statements
c. Construction of statements
d. None of the above
Q. ------------------------ helps in drawing inferences of conclusions
a. Analysis
b. Interpretation
c. Comparison
d. None of the above
Q. ---------------- establishes the relationship of different individual items which same common items
a. Common size statements
b. Comparative statements
c. Trend analysis
d. Comparative Income Statement
Q. Under ------------------------ each item of expenses taken as a percentage on net sales
a. Comparative income statement
b. Comparative balance sheet
c. Common size Balance sheet
d. Common size Income Statement
Q. ----------- helps to disclose financial position
a. Trial Balance
b. Profit and Loss Account
c. Balance sheet
d. Income Statement