McqMate
These multiple-choice questions (MCQs) are designed to enhance your knowledge and understanding in the following areas: Bachelor of Management Studies (BMS) , Bachelor of Accounting and Finance (BAF) , Bachelor of Commerce (B Com) .
| 51. |
What will be the accounting entry in integrated accounts for absorption of works overheads? |
| A. | factory overhead a/c dr wip a/c cr |
| B. | factory overhead a/c dr factory overhead control a/c cr |
| C. | wip control a/c dr factory overhead control a/c cr |
| D. | no entry required |
| Answer» C. wip control a/c dr factory overhead control a/c cr | |
| 52. |
The accounting entry is integrated accounts for recording sales will be |
| A. | debtors or cash a/c dr p&l a/c cr |
| B. | debtors or cash a/c dr sales a/c cr |
| C. | sales a/c dr p&l a/c cr |
| D. | cost ledger control a/c dr p&l a/c cr |
| Answer» B. debtors or cash a/c dr sales a/c cr | |
| 53. |
Under integral system, the accounting entry for recording depreciation charges on machinery will be |
| A. | machinery a/c dr factory overhead control a/c cr |
| B. | factory overhead control a/c dr machinery a/c cr |
| C. | depreciation a/c dr machinery a/c cr |
| D. | factory overhead control a/c dr cost ledger control a/c cr |
| Answer» B. factory overhead control a/c dr machinery a/c cr | |
| 54. |
Integral accounts eliminate the necessity of operating |
| A. | overhead adjustment account |
| B. | stores ledger control account |
| C. | all of these |
| D. | cost ledger control account |
| Answer» D. cost ledger control account | |
| 55. |
____________ Accounts is the name given to a system whereby cost and financial accounts are kept in the same set of books. |
| A. | non-integrated |
| B. | finalize |
| C. | cost |
| D. | integrated |
| Answer» D. integrated | |
| 56. |
In Entry under Integrated System for Credit purchase of material for stock, Stores Ledger Control is ____________. |
| A. | non impacted |
| B. | increased |
| C. | debited |
| D. | credited |
| Answer» C. debited | |
| 57. |
In Entry under Integrated System for Cash purchase of materials for stock, ____________ account is debited. |
| A. | general ledger adjustment |
| B. | none of the mentioned |
| C. | none of the above |
| D. | stores ledger control |
| Answer» D. stores ledger control | |
| 58. |
In Entry under Integrated System for Cash purchase of Special Materials for direct use in a Job, ____________ account is debited. |
| A. | general ledger adjustment |
| B. | stores ledger control |
| C. | cost ledger control account |
| D. | work-in-progress |
| Answer» D. work-in-progress | |
| 59. |
……………………provides information for income determination. |
| A. | Financial accounting |
| B. | cost accounting |
| C. | management accounting |
| D. | none of these |
| Answer» A. Financial accounting | |
| 60. |
……………….helps in ascertaining costs beforehand. |
| A. | Financial accounting |
| B. | cost accounting |
| C. | management accounting |
| D. | none of these |
| Answer» B. cost accounting | |
| 61. |
The scope of cost accounting include…………..,…………… and…………… |
| A. | Cost ascertainment, cost presentation, cost control |
| B. | tax planning, tax accounting, financial accounting |
| C. | presentation of accounting information, creation of policy, day-to day operation |
| D. | none of the above |
| Answer» A. Cost ascertainment, cost presentation, cost control | |
| 62. |
Cost accounting disclose ……………. |
| A. | The Financial position |
| B. | profit/loss of a product, job or service |
| C. | effect and impact of cost on business |
| D. | none of these |
| Answer» B. profit/loss of a product, job or service | |
| 63. |
………..is a post mortem of past costs. |
| A. | Financial accounting |
| B. | cost accounting |
| C. | both a & b |
| D. | none of these |
| Answer» A. Financial accounting | |
| 64. |
………………….aids in price fixation. |
| A. | Financial accounting |
| B. | cost accounting |
| C. | management accounting |
| D. | none of these |
| Answer» B. cost accounting | |
| 65. |
………………is the oldest branch of accounting. |
| A. | Financial accounting |
| B. | cost accounting |
| C. | management accounting |
| D. | none of these |
| Answer» A. Financial accounting | |
| 66. |
……………..includes financial and cost accounting, tax planning and tax accounting. |
| A. | Financial accounting |
| B. | cost accounting |
| C. | management accounting |
| D. | none of these |
| Answer» C. management accounting | |
| 67. |
In automobile, …………………costing is used |
| A. | Process |
| B. | batch |
| C. | multiple |
| D. | job |
| Answer» C. multiple | |
| 68. |
Service costing is used in industries producing……………… |
| A. | Products |
| B. | service |
| C. | both a & b |
| D. | none of these |
| Answer» B. service | |
| 69. |
…………………..costing is applicable to printers. |
| A. | Process |
| B. | batch |
| C. | multiple |
| D. | job |
| Answer» D. job | |
| 70. |
Process costing is also known as……………….costing. |
| A. | Continuous |
| B. | batch |
| C. | multiple |
| D. | job |
| Answer» A. Continuous | |
| 71. |
Operating costing is also known as ……………..costing. |
| A. | Service |
| B. | batch |
| C. | multiple |
| D. | job |
| Answer» A. Service | |
| 72. |
………………..costing is a type or technique of costing. |
| A. | Marginal |
| B. | batch |
| C. | multiple |
| D. | job |
| Answer» A. Marginal | |
| 73. |
………………..costing is a type or technique of costing. |
| A. | Absorption |
| B. | batch |
| C. | multiple |
| D. | job |
| Answer» A. Absorption | |
| 74. |
…………………..is not the scope ofCost Accountancy. |
| A. | Ascertaining cost |
| B. | cost accounting |
| C. | cost control |
| D. | tax planning |
| Answer» D. tax planning | |
| 75. |
Cost Accounting has been developed becauseof……………… of Financial Accounting. |
| A. | Limitations |
| B. | advantages |
| C. | both a & b |
| D. | none of these |
| Answer» A. Limitations | |
| 76. |
Cost Accountancy is the science, art and ……………….of a cost accountant. |
| A. | Practice |
| B. | exercise |
| C. | hard work |
| D. | effort |
| Answer» A. Practice | |
| 77. |
The ordinary trading account is a locked storehouse of most valuable information to which cost system is the………………. |
| A. | Key |
| B. | lock |
| C. | house |
| D. | none of these |
| Answer» A. Key | |
| 78. |
Cost accounts deal partly with facts and figures and partly with……… |
| A. | Estimates |
| B. | costs |
| C. | income |
| D. | revenue |
| Answer» A. Estimates | |
| 79. |
Cost accounting provides data for managerial……………. |
| A. | Decision making |
| B. | recruitment |
| C. | retrenchment |
| D. | none of the above. |
| Answer» A. Decision making | |
| 80. |
Cost accounting is based on……………….figures. |
| A. | Estimated |
| B. | historical |
| C. | actual |
| D. | none of these. |
| Answer» A. Estimated | |
| 81. |
Cost accounting provides detailed information about …………………of various products, processes, services and operations. |
| A. | Costs |
| B. | income |
| C. | either a or b |
| D. | none of these. |
| Answer» A. Costs | |
| 82. |
Cost accounting records both monetary and …………… units. |
| A. | Physical |
| B. | cost |
| C. | both a & b |
| D. | none of these. |
| Answer» A. Physical | |
| 83. |
The method of costing used in a refinery is……………..costing. |
| A. | Process |
| B. | batch |
| C. | multiple |
| D. | job |
| Answer» A. Process | |
| 84. |
……………….costing is used in transport undertakings. |
| A. | Process |
| B. | service |
| C. | multiple |
| D. | job |
| Answer» B. service | |
| 85. |
The total variable cost …………………… in total proportion to output. |
| A. | Increases |
| B. | does not increase |
| C. | decreases |
| D. | none of these. |
| Answer» A. Increases | |
| 86. |
Sunk costs are ………………. for decision-making |
| A. | irrelevant |
| B. | relevant |
| C. | useful |
| D. | none of these. |
| Answer» A. irrelevant | |
| 87. |
Fixed cost …………………… in the same proportion in which output changes. |
| A. | does not change |
| B. | changes |
| C. | increases |
| D. | none of these. |
| Answer» A. does not change | |
| 88. |
Administration expenses are mostly………………. |
| A. | semi-variable |
| B. | variable |
| C. | fixed |
| D. | none of these. |
| Answer» C. fixed | |
| 89. |
Abnormal cost is ………………….. |
| A. | Uncontrollable |
| B. | controllable |
| C. | fixed |
| D. | none of these |
| Answer» A. Uncontrollable | |
| 90. |
Cost of production is equal to …………………… |
| A. | Works cost plus Administration Overheads |
| B. | Prime cost plus Works cost |
| C. | prime cost plus works overhead |
| D. | works overhead plus administration overheads |
| Answer» A. Works cost plus Administration Overheads | |
| 91. |
Variable cost increases with ………….in output. |
| A. | Increase |
| B. | decrease |
| C. | increase or decrease |
| D. | none of these. |
| Answer» A. Increase | |
| 92. |
……………………….Accounting provides information for cost control. |
| A. | Financial |
| B. | Cost |
| C. | Human Resource |
| D. | none of these. |
| Answer» B. Cost | |
| 93. |
………………………. is one which can be conveniently identified with and charged to a particular unit of cost. |
| A. | Direct cost |
| B. | Indirect cost |
| C. | Overhead |
| D. | none of these |
| Answer» A. Direct cost | |
| 94. |
Cost centre and cost unit are…………………… |
| A. | not the same |
| B. | the same |
| C. | not related |
| D. | none of these |
| Answer» A. not the same | |
| 95. |
Fixed cost per unit …………………… with rise in output and …………… with fall in output. |
| A. | Decreases, increases |
| B. | increases, decreases |
| C. | is constant, remains same |
| D. | none of the above |
| Answer» A. Decreases, increases | |
| 96. |
Period costs charged to………………. |
| A. | cost of production |
| B. | Products |
| C. | Period |
| D. | none of these |
| Answer» C. Period | |
| 97. |
Standard costs is………………….. |
| A. | Predetermined cost |
| B. | budgeted cost |
| C. | Actual cost |
| D. | none of these |
| Answer» A. Predetermined cost | |
| 98. |
……………………are costs which have been applied against revenue of particular accounting period. |
| A. | Expenses |
| B. | income |
| C. | loss |
| D. | none of these |
| Answer» A. Expenses | |
| 99. |
……………….is the smallest segment of activity or area or responsibility for which costs are accumulated. |
| A. | Cost Object |
| B. | Cost centre |
| C. | cost driver |
| D. | none of the above |
| Answer» B. Cost centre | |
| 100. |
The primary emphasis of………………..cost is on the planning function of management. |
| A. | Budgeted |
| B. | standard |
| C. | period |
| D. | none of these |
| Answer» A. Budgeted | |
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