MCQOPTIONS
Saved Bookmarks
MCQOPTIONS
This section includes 1713 Mcqs, each offering curated multiple-choice questions to sharpen your General Management knowledge and support exam preparation. Choose a topic below to get started.
| 1051. |
To calculate what, fixed cost is divided into contribution margin per unit? |
| A. | ixed output |
| B. | ariable output |
| C. | reakeven number of units |
| D. | otal number of units |
| Answer» D. otal number of units | |
| 1052. |
In process of examining, occurred changes in total revenues, operating income and costs is known as |
| A. | evenue analysis |
| B. | osts analysis |
| C. | perating income analysis |
| D. | ost volume profit analysis |
| Answer» E. | |
| 1053. |
Contribution per unit is $1200 and number of units sold is $80, then contribution margin would be |
| A. | 9,650 |
| B. | 96,000 |
| C. | 15 |
| D. | 9,600 |
| Answer» C. 15 | |
| 1054. |
Contribution margin per unit is $500 per unit and breakeven per unit is $35, then fixed cost would be |
| A. | 13,500 |
| B. | 14,280 |
| C. | 18,500 |
| D. | 17,500 |
| Answer» E. | |
| 1055. |
Variable cost per unit is multiplied to quantity of sold units to calculate |
| A. | er unit cost |
| B. | ariable cost |
| C. | ixed cost |
| D. | ultiple cost |
| Answer» C. ixed cost | |
| 1056. |
If fixed cost is $30000, contribution margin percentage is 40%, then breakeven revenue will be |
| A. | 120,000 |
| B. | 75,000 |
| C. | 12,000 |
| D. | 175,000 |
| Answer» C. 12,000 | |
| 1057. |
If total revenue is $9000, total variable cost is $2000, then contribution margin will be |
| A. | 11,000 |
| B. | $7000 |
| C. | 4,500 |
| D. | 7,000 |
| Answer» E. | |
| 1058. |
If contribution margin per unit is $800 and selling price is $20000, then contribution margin percentage will be |
| A. | 7.00% |
| B. | 4.00% |
| C. | .00% |
| D. | 5.00% |
| Answer» D. 5.00% | |
| 1059. |
If contribution margin per unit is $40 per unit and selling price is $200, then contribution margin percentage would be |
| A. | 0.00% |
| B. | 0.00% |
| C. | 2.00% |
| D. | 6.00% |
| Answer» B. 0.00% | |
| 1060. |
Difference between variable cost per unit and selling price can be classified as |
| A. | ontribution margin per unit |
| B. | ariable margin per unit |
| C. | elling margin per unit |
| D. | ale per unit |
| Answer» B. ariable margin per unit | |
| 1061. |
If contribution margin per unit is $1000 and contribution margin percentage is 25%, then selling price would be |
| A. | 2,500 |
| B. | 4,000 |
| C. | 3,800 |
| D. | 3,800 |
| Answer» C. 3,800 | |
| 1062. |
Total revenues is subtracted from total variable costs to calculate |
| A. | evenue margin |
| B. | ariable margin |
| C. | ontribution margin |
| D. | ivisor margin |
| Answer» D. ivisor margin | |
| 1063. |
If total revenue is $10000 and total variable cost is $4000, then contribution margin would be |
| A. | 25,000 |
| B. | 14,000 |
| C. | 6,000 |
| D. | 8,400 |
| Answer» C. 6,000 | |
| 1064. |
At break-even point, an operating income must equal to |
| A. | 3,000 |
| B. | 2,000 |
| C. | 1,000 |
| D. | ero |
| Answer» E. | |
| 1065. |
Fixed cost is divided to contribution margin to calculate |
| A. | reakeven revenue |
| B. | otal revenue |
| C. | ixed revenue |
| D. | ariable revenue |
| Answer» B. otal revenue | |
| 1066. |
Variable cost is subtracted from fixed costs to calculate |
| A. | nit income |
| B. | ixed income |
| C. | perating income |
| D. | arginal income |
| Answer» D. arginal income | |
| 1067. |
Quantity or number of units of different products that together make up total sales of company is called |
| A. | ales mix |
| B. | roduct mix |
| C. | nit mix |
| D. | uantity mix |
| Answer» B. roduct mix | |
| 1068. |
If contribution margin of bundle is $4000 and revenue of bundle is $16000, then contribution margin percentage for bundle will be |
| A. | 0.00% |
| B. | 5.00% |
| C. | 5.00% |
| D. | 5.00% |
| Answer» D. 5.00% | |
| 1069. |
Revenue is $11000 and all variable cost is $6000, then contribution margin would be |
| A. | $17000 |
| B. | 17,000 |
| C. | 5,000 |
| D. | $5000 |
| Answer» D. $5000 | |
| 1070. |
In customer cost hierarchy, costs of all incurred activities to sell a unit of product are classified as |
| A. | ustomer sustaining costs |
| B. | ustomer output unit-level costs |
| C. | ustomer batch-level costs |
| D. | orporate sustaining costs |
| Answer» C. ustomer batch-level costs | |
| 1071. |
Division of all costs related to customers on basis of different cost allocation bases or cost drivers is called |
| A. | ustomer cost hierarchy |
| B. | ustomer profitability hierarchy |
| C. | reasury costing hierarchy |
| D. | artial costing hierarchy |
| Answer» B. ustomer profitability hierarchy | |
| 1072. |
Cost of particular cost object which cannot be traced in economically plausible way is termed as |
| A. | ndirect cost |
| B. | artial cost |
| C. | enchmark cost |
| D. | irect cost |
| Answer» B. artial cost | |
| 1073. |
Pricing method used by services companies, such as home repair services, architectural firms and automobile repair services is known as |
| A. | roduct life cycle method |
| B. | ife cycle budgeting method |
| C. | ife cycle costing method |
| D. | ime and material method |
| Answer» E. | |
| 1074. |
In customer cost hierarchy, costs of individual customer support activities are classified as |
| A. | iscretionary channel costs |
| B. | orporate-sustaining costs |
| C. | istribution-channel costs |
| D. | ustomer-sustaining costs |
| Answer» E. | |
| 1075. |
If an actual result in static budget is $2500 and corresponding budgeted amount is $2200, then static budget variance will be |
| A. | 3,000 |
| B. | 300 |
| C. | 4,700 |
| D. | 4,500 |
| Answer» C. 4,700 | |
| 1076. |
Costs that are planned in future and has not been incurred are known as |
| A. | esigned-in costs |
| B. | ocked-in costs |
| C. | alue added cost |
| D. | oth a and b |
| Answer» B. ocked-in costs | |
| 1077. |
If total production is 25000 units and target annual operating income is $300000 then target operating income per unit would be |
| A. | 15 |
| B. | 12 |
| C. | 16 |
| D. | 18 |
| Answer» C. 16 | |
| 1078. |
If cost is eliminated, then reducing perceived usefulness that customers can obtain by using market offering will come under |
| A. | esigned-in costs |
| B. | ocked-in costs |
| C. | alue added cost |
| D. | on-value added cost |
| Answer» D. on-value added cost | |
| 1079. |
In corporate costs, cost incurred to finance construction of new equipment are classified as |
| A. | reasury costs |
| B. | iscretionary costs |
| C. | uman resource management costs |
| D. | orporate administration costs |
| Answer» B. iscretionary costs | |
| 1080. |
If budgeted contribution margin for budgeted and actual sales mix are $35000 and $27000, then sales mix variance will be |
| A. | 8,000 |
| B. | 80,000 |
| C. | 62,000 |
| D. | 35,000 |
| Answer» B. 80,000 | |
| 1081. |
Customer sustaining costs, customer batch-level costs and customer output-unit level costs are classified as |
| A. | ustomer level indirect costs |
| B. | ustomer level direct costs |
| C. | orporate level direct costs |
| D. | orporate level indirect costs |
| Answer» B. ustomer level direct costs | |
| 1082. |
An insensitivity of demand in relevance to change in price will be called |
| A. | emand elasticity |
| B. | rice elasticity |
| C. | rice inelasticity |
| D. | emand inelasticity |
| Answer» E. | |
| 1083. |
An estimated price, which is expected to be paid by customers for particular market offering is classified as |
| A. | arget price |
| B. | arget cost |
| C. | utsource price |
| D. | ff shore price |
| Answer» B. arget cost | |
| 1084. |
If cost base is $350 and markup component is 11% then prospective selling price will be |
| A. | 88.5 |
| B. | 50 |
| C. | 62 |
| D. | 68.5 |
| Answer» B. 50 | |
| 1085. |
In accounting, possibility of deviation of actual amount from an expected amount is classified as |
| A. | ontribution |
| B. | ertainty |
| C. | ncertainty |
| D. | argin |
| Answer» D. argin | |
| 1086. |
All choices for decision that are easily available to managers are classified as |
| A. | utcome |
| B. | ctions |
| C. | vents |
| D. | istribution |
| Answer» C. vents | |
| 1087. |
In monetary terms, an expected value of outcome is classified as |
| A. | xpected value |
| B. | xpected decision value |
| C. | xpected outcome value |
| D. | xpected monetary value |
| Answer» E. | |
| 1088. |
If budgeted revenue is $50000 and breakeven revenue is $35000, then margin of safety would be |
| A. | 12,000 |
| B. | 14,000 |
| C. | 15,000 |
| D. | 16,000 |
| Answer» D. 16,000 | |
| 1089. |
If target net income is $9600 and tax rate is 40%, then target operating income would be |
| A. | 10,000 |
| B. | 12,000 |
| C. | 16,000 |
| D. | 14,000 |
| Answer» D. 14,000 | |
| 1090. |
If sales quantity is 7000 units and breakeven quantity is 1500 units, then margin of safety would be |
| A. | 500 units |
| B. | 500 units |
| C. | 500 units |
| D. | 500 units |
| Answer» C. 500 units | |
| 1091. |
Economic results that are predicted for possible combinations of events are classified as |
| A. | argin |
| B. | istribution |
| C. | ollection |
| D. | utcome |
| Answer» E. | |
| 1092. |
If gross margin is $9000 and cost of goods sold is $8000 then revenue will be |
| A. | 1,000 |
| B. | $1000 |
| C. | 17,000 |
| D. | $17000 |
| Answer» D. $17000 | |
| 1093. |
Set of all occurrences that may happen in near future or in any other fixed time are called |
| A. | vents |
| B. | istribution |
| C. | utcome |
| D. | ctions |
| Answer» B. istribution | |
| 1094. |
If fixed cost is $15000 and breakeven revenue is $45000 then contribution margin will be |
| A. | 3.34% |
| B. | 3.34% |
| C. | 3.00% |
| D. | 5.00% |
| Answer» B. 3.34% | |
| 1095. |
If breakeven revenue is $360000 and revenue per bundle is $12000, then number of bundles to be sold to breakeven can be |
| A. | 2 bundles |
| B. | 8 bundles |
| C. | 5 bundles |
| D. | 0 bundles |
| Answer» E. | |
| 1096. |
Fixed cost is $25000 and breakeven revenue is $95000, then contribution margin will be |
| A. | 32 |
| B. | 30 |
| C. | 25 |
| D. | 26.31 |
| Answer» C. 25 | |
| 1097. |
Difference between actual result and corresponding amount of flexible budget, on basis of actual level of output is classified as |
| A. | ales mix variance |
| B. | ales volume variance |
| C. | lexible budget variance |
| D. | tatic budget variance |
| Answer» D. tatic budget variance | |
| 1098. |
If total units of product A, B and C are as 200,300 and 400 respectively then sales mix would be |
| A. | 00 units |
| B. | 00 units |
| C. | 00 units |
| D. | 00 units |
| Answer» C. 00 units | |
| 1099. |
Contribution margin is divided to operate income to calculate |
| A. | egree of operating leverage |
| B. | egree of change |
| C. | egree of change in margin |
| D. | egree of change in income |
| Answer» B. egree of change | |
| 1100. |
Amount of money by which total revenues exceed breakeven revenues is classified as |
| A. | argin of safety |
| B. | argin of profit |
| C. | argin of loss |
| D. | argin of income |
| Answer» B. argin of profit | |