Match The Following: Question Correct Answer Your Answer

1.Accounting : Process of analyzing & interpretation Process of analyzing & interpretation

Profitability: statement Indicates the amount of profit earned Indicates the amount of profit earned

Balance-sheet: Financial status Financial status

Book-Keeping: Books of Accounts Books of Accounts

Financial statement: Profitability statement & Balance-sheet Profitability statement & Balance-sheet Multiple Choice Single Answer Question Salary paid to employee amounted Rs. 10,000, transferred to Trading A/C is an example of_______ Correct Answer Error of Commission Your Answer Error of Commission Multiple Choice Single Answer Question Labour cost indicates that labour cost which cannot be identified with the individual cost centre and is incurred for those employees who are not engaged in the manufacturing process but only assist i Correct Answer Remuneration Your Answer Indirect True/False Question

To take make or buy decision under the marginal costing , if purchase price of the product is less than its variable cost it is advisable to go for manufacturing proposition. Correct Answer False Your Answer False Select The Blank Question Over absorption of overheads may take place due to the reasons like ________ overheads being less than the ________ overheads Correct Answer actual Your Answer estimated Correct Answer estimated Your Answer actual True/False Question Income received in advance transfer to current liabilities Correct Answer True Your Answer True Select The Blank Question Bank reconciliation statement is the statement prepared to explain the ________ as to why the bank balance as per ________ and bank balance as per bank book does not match Correct Answer reasons Your Answer reasons Correct Answer pass book Your Answer pass book Select The Blank Question Fixed cost is the cost that tend to remain ________ irrespective of ________ Correct Answer constant Your Answer constant Correct Answer level of activity Your Answer level of activity True/False Question A business is an activity carried out with the intention of earning the profit. Correct Answer True Your Answer True

Multiple Choice Single Answer Question If wages for the month of January, February and March are Rs.4,000, Rs.4,400 and Rs.4,600 respectively and if delay in payment of wages is month , payment of wages for the month of February is Correct Answer 4,200 Your Answer 4,000 Select The Blank Question Management Accounting has a very ________ scope and it requires ________ organizational structure Correct Answer wide Your Answer wide Correct Answer elaborate Your Answer elaborate True/False Question Accounting is an art of recording, classifying & summarizing in a significant manner. Correct Answer True Your Answer True Multiple Choice Single Answer Question For a unit, if opening stock of raw material is 10,000 units, closing stock of raw material is 5,000 units and consumption is 3,20,000 units, what will be the quantum of raw material to be purchased Correct Answer 3,15,000 Your Answer 3,15,000 Multiple Choice Multiple Answer Question Important advantages of Uniform Costing can be said to be Correct Answer It is a useful tool for management control , It avoids cut throat competition , Weaker units can take advantage of settled systems of better managed units Your Answer It is a useful tool for management control , It avoids cut throat competition , Weaker units can take advantage of settled systems of better managed units Multiple Choice Multiple Answer Question P/L A/C debit side includes Correct Answer salary , discount allowed , postage & telegram

Your Answer postage & telegram , salary , discount allowed Multiple Choice Multiple Answer Question Actual costs may be affected due to inefficient functioning such as Correct Answer Abnormal expenses , In efficient use of labour , In efficient use of material Your Answer Abnormal expenses , In efficient use of labour , In efficient use of material Multiple Choice Single Answer Question Calculate Labour Efficiency Variance, If actual rate per hour is Rs.3.50/- , Standard rate is Rs.3/- per unit and standard hours are 15,000 and Actual hours are 13, 500. Correct Answer Rs.4500/- ( Favorable ) Your Answer Rs.4500/- ( Favorable ) Multiple Choice Multiple Answer Question Sales quantity may be forecasted after taking into consideration various factors such as Correct Answer Analysis of past trends , Market research , Reports by salesmen Your Answer Analysis of past trends , Market research , Reports by salesmen True/False Question For taking make or buy decision marginal costing technique provide useful assistance. Correct Answer True Your Answer True True/False Question Profitability statement indicates the amount of assets & liabilities. Correct Answer False Your Answer False Multiple Choice Single Answer Question It is an appropriate basis of apportionment of depreciation expenditure Correct Answer value of assets Your Answer value of assets True/False Question The variable costs are controllable at the lower level.

Correct Answer True Your Answer True True/False Question Balance sheet indicates the expenditure & income from the business. Correct Answer False Your Answer False Match The Following Question Correct Answer Your Answer Journal Book of original entry Book of original entry Ledger Maintain all types of Accounts Maintain all types of Accounts Assets All the properties owned by the business All the properties owned by the business Liabilities All the amount owed by the business All the amount owed by the business Drawing Withdrawn for personal use Withdrawn for personal use Select The Blank Question A budget manual is a document setting out the ________ of the persons and ________ required for the budget control. Correct Answer Responsibilities Your Answer Responsibilities Correct Answer Forms and procedures Your Answer Forms and procedures True/False Question Credit balances in all the Personal & Real accounts appear on asset side. Correct Answer False Your Answer True True/False Question The process of accounting split into three steams i.e. financial, cost, management accounting. Correct Answer True Your Answer True Multiple Choice Single Answer Question Omission of posting an amount in the ledger Correct Answer Error of Omission Your Answer Error of Omission

True/False Question Non-operating / financial expenses are added while calculating net profit. Correct Answer False Your Answer True True/False Question Balance sheet indicates the financial status of the business at given period. Correct Answer True Your Answer True Multiple Choice Multiple Answer Question A Budget Manual may contain the following particulars Correct Answer Duties and responsibilities of various executives , Functions and duties of Budget Officer , Scope of the Budget and area to be covered Your Answer Duties and responsibilities of various executives , Functions and duties of Budget Officer , Scope of the Budget and area to be covered Select The Blank Question Semi ________ overheads are neither ________ nor variable in nature. Correct Answer fixed Your Answer variable Correct Answer variable Your Answer fixed True/False Question Due to errors of principle the arithmetical accuracy of the trial balance does not get affected. Correct Answer True Your Answer True Multiple Choice Multiple Answer Question Direct Cost includes Correct Answer Direct material , Direct labour , Direct expenses Your Answer Direct material , Direct labour , Direct expenses Select The Blank Question Financial Accounting protects the interest of outsiders . it considers ________ transaction and it is a ________ requirement Correct Answer historical

Your Answer historical Correct Answer legal Your Answer legal True/False Question Bin Card is having all the information of item received and issued. Correct Answer False Your Answer True Select The Blank Question Budgetary Control is useful for ________-and ________-as a powerful tool in the hands of management Correct Answer Cost control Your Answer Cost control Correct Answer Maximization of profits Your Answer Maximization of profits True/False Question Accounting refers to the process of analyzing & interpreting the information already recorded in the books of accounts. Correct Answer True Your Answer True

Management Accounting Paper No2 of 1st Sem SCDL: True/False Question Credit balances in all the Personal & Real accounts appear on asset side. Correct Answer False Your Answer False Multiple Choice Multiple Answer Question Contents of Uniform Cost Manual are Correct Answer Organization , Cost Accounting system , Presentation of information

Your Answer Organization , Cost Accounting system , Presentation of information Multiple Choice Multiple Answer Question Uniform Costing Methods may be advantageously applied to . . . Correct Answer Single organization having number of branches. , Number of companies in same industry , Similar Industries such as cotton, jute etc. Your Answer Single organization having number of branches. , Number of companies in same industry , Similar Industries such as cotton, jute etc. True/False Question 1) Financial statements are basically in two forms i.e. profitability statement and balance sheet. Correct Answer True Your Answer True Multiple Choice Multiple Answer Question The process of accounting has three streams of accounting ---------------,--------and ---------------------. Correct Answer Financial Accounting , Cost Accounting , Management Accounting Your Answer Financial Accounting , Cost Accounting , Management Accounting True/False Question Long term loan borrowed from financial institution comes under the heading of long term liabilities. Correct Answer True Your Answer True

Match The Following Question Correct Answer Your Answer Book-Keeping Books of Accounts Books of Accounts Financial statement Profitability statement & Balance-sheet Profitability statement & Balance-sheet Accounting Process of analyzing & interpretation Process of analyzing & interpretation Profitability statement Indicates the amount of profit earned Indicates the amount of profit earned Balance-sheet Financial status Financial status Multiple Choice Single Answer Question Judge the statement according to the criteria given : ' The accounting period for XYZ Ltd. ends on 31st December, 2003. It is noted that office rent for the month of December, 2003 is paid on 15th January, 2004. "According to concept of matching expenses with the revenues, this expenditure should be recorded in the books of accounts in January, Correct Answer The statement and its reason are both incorrect Your Answer The statement is correct but its reason is incorrect Multiple Choice Multiple Answer Question Features of money measurement concept are . . . Correct Answer Only those transactions and facts are included expressed in terms of money are considered , Imposes severe restrictions on the kind of information available from financial statements , Works as a major drawback of financial accounting Your Answer

Only those transactions and facts are included expressed in terms of money are considered , Imposes severe restrictions on the kind of information available from financial statements , Works as a major drawback of financial accounting Multiple Choice Single Answer Question The installation and operation of ___________ accounting requires a very elaborate organizational structure and large number of rules & regulations Correct Answer Management Your Answer Management Select The Blank Question ________account can be defined as the record of all the transactions pertaining to a person, asset, liability income or expenditure which have taken place in a specified period. Correct Answer Ledger Your Answer Trading Match The Following Question Correct Answer Your Answer Sunk Cost Historical Cost Historical Cost Cost Centre Facilitate the fixation of responsibility Facilitate the fixation of responsibility Cost Control Process of controlling costs of operations Process of controlling costs of operations Differential Cost Increase or Decrease in cost Increase or Decrease in cost

Multiple Choice Multiple Answer Question Which of the following transactions should be excluded while preparing a cost sheet ? Correct Answer Interest on loan , Bad debts , Expenses on criminal law suit Your Answer Sale of scrap material , Interest on loan , Bad debts True/False Question In a Balance-Sheet right hand side is referred as assets side and left hand side is referred as liabilities. Correct Answer True Your Answer True True/False Question Credit note is an intimation send to person dealing with the business that his account being debited for the purpose indicated therein. Correct Answer False Your Answer False True/False Question Primary distribution is effected on the basis of service rendered to the service departments by the production departments. Correct Answer False Your Answer True Multiple Choice Multiple Answer Question Marginal costing is found to be unsuccessful in the following situations :Correct Answer Impossible to distinguish costs into fixed and variable component. , With respect to

capital intensive industries where fixed costs are very large and hence cannot be ignored , With respect to service industries where employee costs are very large and almost fixed in nature Your Answer Impossible to distinguish costs into fixed and variable component. , With respect to capital intensive industries where fixed costs are very large and hence cannot be ignored , With respect to service industries where employee costs are very large and almost fixed in nature True/False Question Debit Note is an intimation sent to person dealing with the business that his account is being credited for the purpose indicated therein. Correct Answer False Your Answer True Multiple Choice Multiple Answer Question Labour efficiency variance arises due to: Correct Answer Inefficient supervisor , Poor working conditions , Use of sub-standard quality of material Your Answer Inefficient supervisor , Poor working conditions , Use of sub-standard quality of material True/False Question Financial Accounting discloses the financial performance & financial statements of the business as a whole. Correct Answer True Your Answer True True/False Question Balance sheet indicates the expenditure & income from the business.

Correct Answer False Your Answer True Select The Blank Question The indirect material cost, indirect labour cost and indirect expenses cost, collectively are termed as ________. Correct Answer Overhead Your Answer Overhead Select The Blank Question A person in charge of a ________ may be held responsible for its proper functioning and cost control. Correct Answer Cost centre Your Answer Cost centre Multiple Choice Multiple Answer Question The organization chart shows the following aspects : Correct Answer Functional responsibility of different functional managers , Delegation of authority to various managers , Inter-functional relationships of these managers Your Answer Functional responsibility of different functional managers , Delegation of authority to various managers , Inter-functional relationships of these managers True/False Question Uniform costing system is a pre-requisite to an inter-firm comparison of firms belonging to the different industries. Correct Answer False Your Answer

False True/False Question P&L statement which is a period statement & relates to a certain period tells about results of operations. Correct Answer True Your Answer False Select The Blank Question Depreciation charged on office furniture on straight line basis is an example of ________. Correct Answer Administration overheads Your Answer Administration overheads True/False Question Under time rate system a worker is paid on the basis of production achieved by him in a given time. Correct Answer False Your Answer False Select The Blank Question Information as to the cost and profit / loss associated with the firm's operations is provided to the ________ by Management accounting. Correct Answer Management Your Answer Management True/False Question

Danger level for inventory of materials means the safety stock of inventory. Correct Answer False Your Answer True True/False Question The role of the budget committee may be taken as an advisory role to the Chief Executive. Correct Answer True Your Answer True Multiple Choice Multiple Answer Question The main advantages of profit sharing are : Correct Answer Employees try to increase productivity , Incentives are shared by all the employees , Augments emplyees' efficiency Your Answer Employees try to increase productivity , Incentives are shared by all the employees , Augments emplyees' efficiency Select The Blank Question ________ Accounting assists the management in establishing the plans to attain the economic objectives and take proper decisions for the attainment of its objectives. Correct Answer Management Your Answer Management Multiple Choice Multiple Answer Question Which of the following is likely to be a contributory factor to the incidence of excess expenditure on material cost? Correct Answer The level of control of the used of material in the production cycle , The incorrect

choice of purchase order quantity , Failure to control the issue of materials from stores Your Answer An increase in the maximum material inventory level , The incorrect choice of purchase order quantity , Failure to control the issue of materials from stores Multiple Choice Multiple Answer Question Management accounting is concerned with the following activities : Correct Answer Decision making , Safeguarding assets , Planning and controlling activities Your Answer Decision making , Safeguarding assets , Planning and controlling activities Multiple Choice Multiple Answer Question Features of double entry accounting system are . . . Correct Answer Every business transaction has two elements , When business receives something, it has to pay something , Every debit has a corresponding credit Your Answer Every business transaction has two elements , When business receives something, it has to pay something , Every debit has a corresponding credit Select The Blank Question Under Differential Time Rate method payment is made at Rs. 1.40 per hour when the level of efficiency is between________. Correct Answer 90% to 100% Your Answer 90% to 100% True/False Question Maintenance Department is a service cost centre. Correct Answer True Your Answer True

True/False Question The process of accounting split into three steams i.e. financial, cost, management accounting. Correct Answer True Your Answer True Select The Blank Question The difference between sales and cost of sales is termed as ________. Correct Answer Net Profit Your Answer Net Profit Select The Blank Question The final result disclosed by trading account is the ________profit earned by the organization. Correct Answer Gross Your Answer Gross Multiple Choice Multiple Answer Question Select the accounts to be disclosed on the liability side of the Balance sheet. Correct Answer Loan , Outstanding expenses , Creditors Your Answer Loan , Outstanding expenses , Creditors True/False Question Penalty paid for delay in payment to creditors represents uncontrollable cost. Correct Answer False

Your Answer False Multiple Choice Single Answer Question Which document facilitates estimating material cost of a particular job, before completion of that job? Correct Answer Bill of material Your Answer Material requisition note Multiple Choice Single Answer Question Purchases returns of Rs.18,000/- were wrongly transferred to the sales returns account. Calculate its impact on net profit. Correct Answer The net profit will not be affected Your Answer The net profit will not be affected.

Financial Statements are prepared in two forms Profitability statement { what is the result of ops in terms of profit or loss} Balance Sheet.{ indicates financial status of the business in terms of its assets and liabilities.}

Excess of revenue (income ) over expenses ..Profit.

Excess of expenditure over revenue.loss According to American Institute of certified public accountants page 2.

Streams of accounting : Financial Accounting

Cost accounting and Management accounting.

True or false Financial accounting comprises of : profitability statement and balance sheettrue. Financial Accounting is reffered to as the historical form of accounting==true Financial Accounting is meant for the people who are external to the OrganisationT Financial Accounting is more or less a legal requirementT Management accounting considers only historical dataF

Conceptual framework of financial ,costing, and management accounting implies..page 18 To credit - To credit an account means to make the entry on credit side of the account. (right side )