MCQOPTIONS
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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.
| 251. |
Cash equivalent are usually of short term but highly -----------------investments |
| A. | liquid |
| B. | Fixed |
| C. | Changed |
| D. | None of these |
| Answer» B. Fixed | |
| 252. |
The efficiency of the management can be measured with the help of ------------------ |
| A. | Activity ratio |
| B. | Leverage ratio |
| C. | Liquidity ratio |
| D. | Profitability ratio |
| Answer» B. Leverage ratio | |
| 253. |
Vertical analysis is made to review and analyze the financial statements of -----------------accounting period. |
| A. | One |
| B. | Two |
| C. | Three |
| D. | Four |
| Answer» B. Two | |
| 254. |
Cash Flow Statement is prepared from |
| A. | Profit and loss account |
| B. | Balance Sheet |
| C. | Additional Information |
| D. | All of the above |
| Answer» E. | |
| 255. |
The Fixed Cost are |
| A. | Rs.200000 |
| B. | Rs.300000 |
| C. | Rs.400000 |
| D. | Rs.500000 |
| Answer» C. Rs.400000 | |
| 256. |
An annual report is issued by company to its : |
| A. | Directors |
| B. | Auditors |
| C. | Shareholders |
| D. | Management |
| Answer» D. Management | |
| 257. |
Budgetary control __________ replace management in decision‐making. |
| A. | can |
| B. | cannot |
| C. | sometimes |
| D. | inadequate data |
| Answer» C. sometimes | |
| 258. |
Operating ratio establishes the relationship between --------------- and net sales |
| A. | Cost of goods sold |
| B. | Cost of sales |
| C. | Cost of production |
| D. | Operating cost |
| Answer» E. | |
| 259. |
Interpretation requires analysis and ---------------------------------- |
| A. | Comparison |
| B. | Determination |
| C. | Decision Making |
| D. | Conclusion |
| Answer» B. Determination | |
| 260. |
Income tax payable come under ------------------ |
| A. | Long term liability |
| B. | Long term fund |
| C. | Current liability |
| D. | Other liabilities |
| Answer» D. Other liabilities | |
| 261. |
Which of the following characteristics does NOT pertain to management accounting? |
| A. | Provides information and estimates about future activity |
| B. | Generates specific-purpose financial statements and reports |
| C. | Provides financial and operating data multidisciplinary in scope |
| D. | Has externally imposed standards |
| Answer» E. | |
| 262. |
Profit plan(or budget) is a |
| A. | Long term financial plan |
| B. | Short term financial plan |
| C. | Long term non financial plan |
| D. | Short term non financial plan |
| Answer» C. Long term non financial plan | |
| 263. |
Fixed budget is useless for comparison when the level of activity - |
| A. | Increases |
| B. | Fluctuates both ways |
| C. | Decreases |
| D. | Constant |
| Answer» C. Decreases | |
| 264. |
Fixed cost=8000,Profit=5600 .Calculate Contribution. |
| A. | 8000 |
| B. | 2400 |
| C. | 13600 |
| D. | 5600 |
| Answer» D. 5600 | |
| 265. |
When one account is current and another a non-current It results in-------------------- |
| A. | Flow of fund |
| B. | Increase of fund |
| C. | Decrease of fund |
| D. | None of these |
| Answer» B. Increase of fund | |
| 266. |
While making make or buy decision under marginal costing, external purchase price of the articles must be compared with its |
| A. | Fixed Cost |
| B. | Total Cost |
| C. | Variable Cost |
| D. | Prime Cost. |
| Answer» D. Prime Cost. | |
| 267. |
Which is not the limitation of financial analysis?I)Effect of personal Bias II)Identify Trend III)Judge Efficiency IV)Different accounting policies |
| A. | Only I |
| B. | Only II and III |
| C. | Only II , III and IV |
| D. | Only I and IV |
| Answer» C. Only II , III and IV | |
| 268. |
Internal report use for _______________ . |
| A. | Share holders |
| B. | Government |
| C. | Managerial personnel |
| D. | Creditors |
| Answer» D. Creditors | |
| 269. |
Current ratio is 4:1, the amount of current liabilities is Rs.12000 the amount of working capital is----- |
| A. | Rs.48,000 |
| B. | Rs.36000 |
| C. | Rs.30000 |
| D. | Rs.60000 |
| Answer» B. Rs.36000 | |
| 270. |
A Company’s Quick Ratio is 1.5 : 1; Current Liabilities are ₹2,00,000 and Inventory is₹1,80,000. Current Ratio will be : |
| A. | 0.9 : 1 |
| B. | 1.9 : 1 |
| C. | 1.4 : 1 |
| D. | 2.4 : 1 |
| Answer» E. | |
| 271. |
-Which of the following would be consistent with a hedging (maturity matching)approach to financing working capital? |
| A. | financing short-term needs with short-term funds. |
| B. | financing short-term needs with long-term debt. |
| C. | financing seasonal needs with long-term funds. |
| D. | financing some long-term needs with short-term funds. |
| Answer» B. financing short-term needs with long-term debt. | |
| 272. |
Abnormal cost is the cost ___________. |
| A. | Cost normally incurred at a given level of output |
| B. | Cost not normally incurred at a given level of output |
| C. | Cost which is charged to customer |
| D. | Cost which is included in the cost of the product |
| Answer» C. Cost which is charged to customer | |
| 273. |
Which of the following is an example of Semi-Variable Costs |
| A. | Salary |
| B. | Tax |
| C. | Telephone Expenses |
| D. | Office Expenses |
| Answer» D. Office Expenses | |
| 274. |
Budgetary control helps to introduce a suitable incentive and remuneration basedon… |
| A. | changes in government policies |
| B. | inflationary conditions |
| C. | both |
| D. | none |
| Answer» C. both | |
| 275. |
Any gain on sale of non-current asset should be ----- from the net profit for determining funds from operation |
| A. | Deducted |
| B. | Added |
| C. | Increased |
| D. | None of these |
| Answer» B. Added | |
| 276. |
__________ is a situation in which actual profits of a company are not sufficient enough topay interest on debentures, on loans and pay dividends on shares over a period of time? |
| A. | under capitalization |
| B. | over capitalization |
| C. | market capitalization |
| D. | none of the above |
| Answer» C. market capitalization | |
| 277. |
Sunk costs are __________. |
| A. | Relevant for decision making |
| B. | Not relevant for decision making |
| C. | Cost to be incurred in future |
| D. | Future costs |
| Answer» C. Cost to be incurred in future | |
| 278. |
Total Assets in 2018 10 lac(Negative );in 2019 15 Lac (Positive).What is the Percentage change? |
| A. | 150% |
| B. | 100% |
| C. | 250% |
| D. | 50% |
| Answer» D. 50% | |
| 279. |
Which of the following is expenses ratio?(a) Administrative expenses ratio(b) Selling and Distribution expenses ratio(c) Factory expenses ratio(d) Finance Expenses ratio |
| A. | A, B and D |
| B. | A, C and D |
| C. | A, B and C |
| D. | A, B , C, D |
| Answer» E. | |
| 280. |
Current ratio shows----- |
| A. | The change in gross profit |
| B. | The working capital position |
| C. | The liquidity of assets |
| D. | The change in net profit |
| Answer» C. The liquidity of assets | |
| 281. |
Which of the following is not included in quick assets? |
| A. | Debtors |
| B. | Stock |
| C. | Cash at bank |
| D. | Cash in hand |
| Answer» C. Cash at bank | |
| 282. |
Batch Costing is useful in determining: |
| A. | Maximum Quantity of output |
| B. | Minimum Quantity of output |
| C. | Economic Batch Quantity |
| D. | Profit of Batches |
| Answer» B. Minimum Quantity of output | |
| 283. |
Which of the following are theories for dividend relevance? |
| A. | walter’s model |
| B. | mm approach |
| C. | game theory |
| D. | market value theory |
| Answer» B. mm approach | |
| 284. |
Stock is considered as a liquid asset as anytime it can be converted into cashimmediately. |
| A. | yes |
| B. | no |
| C. | only yes |
| D. | none of the above |
| Answer» C. only yes | |
| 285. |
Which statement is true.I)Cost records are compulsory in all industries. II)Management accounting records are compulsory by law. |
| A. | Both are False |
| B. | Only II |
| C. | Both I and II |
| D. | Only I |
| Answer» B. Only II | |
| 286. |
Hirer is entitled to claim ___________. |
| A. | depreciation |
| B. | salvage value |
| C. | hp payments |
| D. | none of above |
| Answer» B. salvage value | |
| 287. |
Usually the production budget is stated in terms of - |
| A. | Money |
| B. | Quantity |
| C. | Both (a) and (b) |
| D. | None |
| Answer» D. None | |
| 288. |
Financial accounting is the art of .I)Classifying II)Interpreting III)Recording IV)Summarising .Write Correct sequence. |
| A. | III,IV,II,I |
| B. | III,I,IV,II |
| C. | III,I,II,IV |
| D. | III,IV,I,II |
| Answer» C. III,I,II,IV | |
| 289. |
The budget which commonly takes the form of budgeted Profit and Loss Account and Balance Sheet is |
| A. | Cash Budget |
| B. | Fixed Budget |
| C. | Master Budget |
| D. | Flexible Budget |
| Answer» D. Flexible Budget | |
| 290. |
_______ is devoted to providing information for external users. |
| A. | Management accounting |
| B. | Financial accounting |
| C. | Internal accounting |
| D. | Cost accounting |
| Answer» C. Internal accounting | |
| 291. |
Which of the following statements related to Contribution Analysis are ture? |
| A. | If contribution is zero, there is loss equal to fixed costs |
| B. | If contribution is negative, loss is less than fixed costs |
| C. | If contribution is positive and more than fixed cost there will be profit. |
| D. | All of the above |
| Answer» B. If contribution is negative, loss is less than fixed costs | |
| 292. |
Expressed as a percentage of each asset to total |
| A. | Common size P/L A/C |
| B. | Common size Balance Sheet |
| C. | Comparative Income Statement |
| D. | Trend analysis |
| Answer» C. Comparative Income Statement | |
| 293. |
Determine Working capital turnover ratio if, Current asset is Rs 1,50,000,current liability is Rs 1,00,000 & cost of goods sold is Rs 3,00,000. |
| A. | 5 times |
| B. | 6 times |
| C. | 3 times |
| D. | 1.5 times |
| Answer» C. 3 times | |
| 294. |
Volume variance arises when |
| A. | There is rise in overhead rate per hour |
| B. | There is decline in overhead rate per hour |
| C. | There is decrease or increase in actual output compared to the budgeted output |
| D. | None of the above |
| Answer» D. None of the above | |
| 295. |
Depreciation is a source of fund------------------- |
| A. | Yes |
| B. | No |
| C. | Both yes or no |
| D. | None of these |
| Answer» B. No | |
| 296. |
Comparison of financial variables of a firm over a period of time is known as-------------- |
| A. | Comparative |
| B. | Common-size |
| C. | Trend analysis |
| D. | None of the above |
| Answer» D. None of the above | |
| 297. |
The budget that summarize future plans for acquisition of plant facilities and equipment is the |
| A. | Cash budget |
| B. | Sales budget |
| C. | Capital expenditure budget |
| D. | None of the above |
| Answer» D. None of the above | |
| 298. |
The planning process includes |
| A. | setting objectives. |
| B. | identifying means of achieving the objectives. |
| C. | making decisions. |
| D. | all of the above. |
| Answer» E. | |
| 299. |
The process of deriving conclusions from the analysis is commonly termed as ---------------- |
| A. | Analysis |
| B. | Conclusion |
| C. | Comparison |
| D. | Interpretation |
| Answer» E. | |
| 300. |
What are the different types of underlying assets? |
| A. | stocks |
| B. | bonds |
| C. | currency |
| D. | stock indices |
| Answer» E. | |