MY QUIZ....
Quiz no. 2
1.
The abbreviation LIFO is:
Select correct option:
Large integrated financial organization
Least interesting financial option
The last in first out method
None of the given options
2.
Costs which are constant for a relevant range of activity and rise to new constant level once that range exceeded is called:
Select correct option:
A fixed cost
A variable cost
A mixed cost
A step cost
3.
A cost centre is
Select correct option:
A unit of product or service in relation to which costs are ascertained
An amount of expenidure attributable to an activity
A production or service location,function,activity or item of equipment for which costs are accumulated
A centre for which an indvidual budget is drawn up
4.
Which of the following is sales force payroll incentive?
Select correct option:
Commission
Shift allowance
Over time payment
Bonus
5.
All of the following are terms used to denote Factory Overheads EXCEPT:
Select correct option:
Factory burden
Factory expenses
Manufacturing overhead
Conversion costs
6.
Which of the following is not true
Select correct option:
Managerial accounting information is prepared for internal users
Preparation of Managerial accounting information is not a legal requirement
There are specific standards of acceptability for managerial accounting
The structure of managerial accounting practice is relatively flexible
7.
In which of the following would there be a difference between financial and managerial accounting?
Select correct option:
Users of the information
Purpose of the information
Flexibility of practices
All of the given options
8.
Opportunity cost is the best example of:
Select correct option:
Sunk Cost
Standard Cost
Relevant Cost
Irrelevant Cost
9.
If labor is satisfied with high wages it may ultimately lead to:
Select correct option:
Increased production and productivity
Increased efficiency
Reduced labor and overhead costs
All of the given options
10.
The main purpose of cost accounting is to
Select correct option:
Maximize profits
Help in inventory valuation
Provide information to management for decision making
Aid in the fixation of selling price
11.
Sales are Rs. 450,000. Beginning finished goods were Rs. 23,000. Ending finished goods are Rs. 30,000. The cost of goods sold is Rs. 300,000. What is the cost of goods manufactured?
Select correct option:
Rs. 323,000
Rs. 330,000
Rs. 293,000
None of the given options
12.
Which of the following cost is used in the calculation of cost per unit?
Select correct option:
Total production cost
Cost of goods available for sales
Cost of goods manufactured
Cost of goods Sold
13.
Under Periodic Inventory system Purchase of inventory is treared as:
Select correct option:
Assets
Expense
Income
Liability
14.
A high inventory turnover may indicate:
Select correct option:
An efficient use of the investment in inventory
A high risk of stock-outs
Stock position of store room
All of the given options
15.
Which of the following is correct?
Select correct option:
Units sold=Opening finished goods units + Units produced – Closing finished goods units
Units Sold = Units produced + Closing finished goods units - Opening finished goods units
Units sold = Sales + Average units of finished goods inventory
Units sold = Sales - Average units of finished goods inventory