MCQOPTIONS
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MCQOPTIONS
This section includes 181 Mcqs, each offering curated multiple-choice questions to sharpen your Bachelor of Commerce (B Com) knowledge and support exam preparation. Choose a topic below to get started.
| 51. |
In differential cost analysis decisions are taken by comparing the with differential cost |
| A. | Marginal cost |
| B. | Marginal revenue |
| C. | Incremental revenue |
| D. | Either (b) or (c) |
| Answer» D. Either (b) or (c) | |
| 52. |
A is useful only when the actual level of activity corresponds to the budgeted level of activity |
| A. | Flexible budget |
| B. | Master budget |
| C. | Fixed budget |
| D. | Sales budget |
| Answer» D. Sales budget | |
| 53. |
. is the most important budget |
| A. | Master budget |
| B. | Cash budget |
| C. | Sales budget |
| D. | Production budget |
| Answer» D. Production budget | |
| 54. |
is the act of building budgets |
| A. | Budgeting |
| B. | Estimating |
| C. | Forecasting |
| D. | ZBB |
| Answer» B. Estimating | |
| 55. |
Budgeting system . key managerial functions |
| A. | Co-ordinate |
| B. | Integrates |
| C. | Controls |
| D. | Organize |
| Answer» C. Controls | |
| 56. |
. forms the basis on which all other budgets are built up |
| A. | Master budget |
| B. | Cash budget |
| C. | Sales budget |
| D. | Summary budget |
| Answer» D. Summary budget | |
| 57. |
The job costing each job is a . to which all costs are assigned |
| A. | Profit unit |
| B. | Cost unit |
| C. | Expenses |
| D. | Variable |
| Answer» C. Expenses | |
| 58. |
. is a budget starts from zero |
| A. | ZBB |
| B. | PB |
| C. | PPB |
| D. | All of these |
| Answer» B. PB | |
| 59. |
. is the budget incorporating all the components functional budgets |
| A. | Sales budget |
| B. | Production budget |
| C. | Capital budget |
| D. | Master budget |
| Answer» E. | |
| 60. |
The difference between selling price and marginal cost is |
| A. | Profit |
| B. | Marginal cost |
| C. | Contribution |
| D. | Loss |
| Answer» D. Loss | |
| 61. |
Contract costing is a basic method of |
| A. | Specific costing |
| B. | Specific order costing |
| C. | Economic batch costing |
| D. | Economic order costing |
| Answer» C. Economic batch costing | |
| 62. |
Job costing can be used in industries using |
| A. | Farm costing |
| B. | Multiple costing |
| C. | Standard costing |
| D. | One-operation costing |
| Answer» D. One-operation costing | |
| 63. |
The loss incurred on an incomplete contract is transferred to |
| A. | Profit and Loss Account |
| B. | Contract account |
| C. | Work certified |
| D. | Work in progress account |
| Answer» B. Contract account | |
| 64. |
In cost-plus contract, the contractor will get costplus |
| A. | Accumulated profit |
| B. | Stipulated profit |
| C. | Earned profit |
| D. | Budgeted profit |
| Answer» C. Earned profit | |
| 65. |
In marginal costing valuation of stock of work in progress is done on the basis of |
| A. | Market cost |
| B. | Marginal cost |
| C. | Product cost |
| D. | Cost price |
| Answer» C. Product cost | |
| 66. |
The expenses incurred in extra work is |
| A. | Debited in contract amount |
| B. | Credited in contract amount |
| C. | Not shown in contract amount |
| D. | None of the above |
| Answer» B. Credited in contract amount | |
| 67. |
In marginal costing selling price is based on |
| A. | Contribution |
| B. | Marginal cost |
| C. | Market cost |
| D. | Marginal cost plus contribution |
| Answer» E. | |
| 68. |
Budget control is exercised by |
| A. | Budget officer |
| B. | Budget director |
| C. | Budget controller |
| D. | All the above |
| Answer» E. | |
| 69. |
Stock of work in progress and finished goods are valued at marginal costing not include |
| A. | Fixed cost |
| B. | Semi-fixed |
| C. | Semi-variable |
| D. | Variable |
| Answer» B. Semi-fixed | |
| 70. |
Fixed expenses + profit=? |
| A. | Contribution |
| B. | Marginal cost |
| C. | Prime cost |
| D. | Variable cost |
| Answer» B. Marginal cost | |
| 71. |
Period for which budget is prepared is called |
| A. | Budget period |
| B. | Financial period |
| C. | Fiscal period |
| D. | Accounting period |
| Answer» B. Financial period | |
| 72. |
..is a financial plan |
| A. | Budget |
| B. | Budgetary control |
| C. | P/V ratio |
| D. | BEP |
| Answer» B. Budgetary control | |
| 73. |
In the marginal costing method, the actual amount of fixed overheads is wholly charged to |
| A. | Cost sheet |
| B. | Profit and loss |
| C. | Balance sheet |
| D. | Cost account |
| Answer» C. Balance sheet | |
| 74. |
Milk, butter cream, etc obtained in is example of |
| A. | By product |
| B. | joint product |
| C. | Co- product |
| D. | none |
| Answer» C. Co- product | |
| 75. |
Abnormal gain = .. |
| A. | normal cost of normal output /Actual output*units of A.L |
| B. | N.C of normal output / normal output * units of A. gain |
| C. | Normal output /Actual output * A. gain |
| D. | None of these |
| Answer» C. Normal output /Actual output * A. gain | |
| 76. |
In costing separate account process A/C is kept for each process |
| A. | Proces |
| B. | Job |
| C. | Batch |
| D. | none of these |
| Answer» B. Job | |
| 77. |
The finished product of last process is transferred to a/c |
| A. | Abnormal gain |
| B. | Abnormal loss |
| C. | Normal loss |
| D. | finished stock |
| Answer» E. | |
| 78. |
Cost of is not included in the cost of the process |
| A. | Abnormal los |
| B. | Normal loss |
| C. | Normal gain |
| D. | Abnormal gain |
| Answer» B. Normal loss | |
| 79. |
In costing no distinction is made between direct and indirect materials |
| A. | Job |
| B. | Contract |
| C. | Process |
| D. | Service |
| Answer» D. Service | |
| 80. |
The cost incurred up to the point of separation are called cost |
| A. | Direct |
| B. | Process |
| C. | Byproduct |
| D. | Common |
| Answer» D. Common | |
| 81. |
Cost of one process may be transferred to the next process at |
| A. | Cost price |
| B. | Market price |
| C. | Cost or market price |
| D. | Realizable price |
| Answer» D. Realizable price | |
| 82. |
The most important criterion for distinguishing between scrap, byproduct and joint product is of the products |
| A. | Cost price |
| B. | Market price |
| C. | Relative sales value |
| D. | Realizable value |
| Answer» D. Realizable value | |
| 83. |
costs relate to processes and incurred after split off points |
| A. | Direct |
| B. | Process |
| C. | By product |
| D. | Subsequent |
| Answer» E. | |
| 84. |
is based on the distinction between fixed and variable cost |
| A. | Service costing |
| B. | Unit costing |
| C. | Process costing |
| D. | Marginal costing |
| Answer» E. | |
| 85. |
is a graphical representation of marginal costing |
| A. | Break even chart |
| B. | angle of incidence |
| C. | Margin of safety |
| D. | none of these |
| Answer» B. angle of incidence | |
| 86. |
is the point of production at which separate products are identified |
| A. | Ordering point |
| B. | Trade off point |
| C. | Split off point |
| D. | Matching point |
| Answer» D. Matching point | |
| 87. |
The product has generally over the relative quantities of byproducts and the main products |
| A. | Control |
| B. | No control |
| C. | Value |
| D. | Quantity |
| Answer» C. Value | |
| 88. |
The main product is usually produced in greater quantities than the |
| A. | Scrap |
| B. | Defectives |
| C. | Byproduct |
| D. | Joint product |
| Answer» D. Joint product | |
| 89. |
Joint costs are allocated according to value of individual products under the market value method |
| A. | Market |
| B. | Sales |
| C. | Cost |
| D. | Cost or market |
| Answer» C. Cost | |
| 90. |
Marginal costing is the aggregate of plus variable overheads |
| A. | Work cost |
| B. | Variable cost |
| C. | Prime Cost |
| D. | Cost of production |
| Answer» D. Cost of production | |
| 91. |
The finished product of one process becomes |
| A. | Raw material of next proces |
| B. | Finished product of next process |
| C. | Output of next process |
| D. | All of the above |
| Answer» B. Finished product of next process | |
| 92. |
is the system most useful for making make or buy decision |
| A. | Operation costing |
| B. | Marginal costing |
| C. | Unit costing |
| D. | Service costing |
| Answer» C. Unit costing | |
| 93. |
Marginal costing is a of costing |
| A. | Technique |
| B. | Type |
| C. | Method |
| D. | Both (a)&(c) |
| Answer» B. Type | |
| 94. |
In marginal costing stock of finished goods is valued at |
| A. | Fixed cost |
| B. | Market price |
| C. | Cost price |
| D. | Variable cost |
| Answer» E. | |
| 95. |
is the aggregate of fixed cost and profit |
| A. | Prime cost |
| B. | Contribution |
| C. | Work cost |
| D. | Cost of sale |
| Answer» C. Work cost | |
| 96. |
In marginal costing only is charged to products |
| A. | Fixed cost |
| B. | Variable cost |
| C. | Semi variable cost |
| D. | Semi fixed cost |
| Answer» C. Semi variable cost | |
| 97. |
helps the management in cost control |
| A. | Marginal costing |
| B. | Operation costing |
| C. | Unit costing |
| D. | Absorption costing |
| Answer» B. Operation costing | |
| 98. |
An increase in physical sales volume P/V ratio |
| A. | Increase |
| B. | Decreases |
| C. | Either increase or decrease |
| D. | Do not affect |
| Answer» E. | |
| 99. |
Profit planning is possible with costing |
| A. | Marginal |
| B. | Absorption |
| C. | Operation |
| D. | Unit |
| Answer» B. Absorption | |
| 100. |
Marginal costing and analysis helps in decision making |
| A. | Service costing |
| B. | Unit costing |
| C. | Differential costing |
| D. | Absorption costing |
| Answer» D. Absorption costing | |