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 MGT402 QUIZ NO 4

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PostSubject: MGT402 QUIZ NO 4   Thu Jul 22, 2010 8:59 pm

Quote :

Question # 1 of 15 ( Start time: 06:32:55 PM ) Total Marks: 1
Differential cost has the behavior of ?
Select correct option:
Fixed cost
Step cost
Variable/semi avriable cost
All of the given options

Question # 2 of 15 ( Start time: 06:34:20 PM ) Total Marks: 1
All Indirect cost is charged/record in the head of
Select correct option:
Prime cost
FOH cost
Direct labor cost
None of the given options
Question # 3 of 15 ( Start time: 06:35:17 PM ) Total Marks: 1
Which of the following is / are element / s of production payroll?
Select correct option:
Direct labor force wages
Administrative wages
Selling wages
All of the given options
Question # 4 of 15 ( Start time: 06:36:34 PM ) Total Marks: 1
Which of the following is/are not associated with ordering costs?
Select correct option:
Interest
Insurance
Opportunity costs
All of the given options


Question # 5 of 15 ( Start time: 06:37:55 PM ) Total Marks: 1
A company needed to produce 340 liters of chemical “X”. There is a normal loss of 10 %( 40 units) of the material put in to the process during the month. The company produced 340 liters of good production. Although there was an abnormal loss of 5 % of the material put into the process which was 20 units. Find out the number of liters put in to process in the beginning?
Select correct option:
400 litres
340 litres
300 litres
200 litres


Question # 6 of 15 ( Start time: 06:39:17 PM ) Total Marks: 1
Which of the following costs are treated as period costs under direct costing?
Select correct option:
Only direct costs
Fixed selling and administrative expenses
Fixed manufacturing overhead
Both fixed manufacturing overhead and fixed selling and administrative expenses

Question # 7 of 15 ( Start time: 06:40:36 PM ) Total Marks: 1
Which of the following would be considered to be an investment centre?
Select correct option:
Managers have control over marketing
Management have a sales team
Management have a sales team and are given a credit control function
Managers can purchase capital assets and are given a credit control function


Question # 8 of 15 ( Start time: 06:41:13 PM ) Total Marks: 1
The difference over the period of time between actual and applied FOH will usually be minimal when the predetermined overhead rate is based on:
Select correct option:
Normal capacity
Designed capacity
Direct Labor hours
Machine hours


Question # 9 of 15 ( Start time: 06:42:30 PM ) Total Marks: 1
The Economic order quantity can be calculated by:
Select correct option:
Formula Method
Table Method
Graph Method
All of the given


Question # 10 of 15 ( Start time: 06:42:58 PM ) Total Marks: 1
Cost of Goods Manufactured can be calculated as follow
Select correct option:
Total factory Cost Add Opening Work in process inventory Less Closing Work in process inventory
Total factory Cost Less Opening Work in process inventory Add Closing Work in process inventory
Total factory Cost Less Opening Work in process inventory Less Closing Work in process inventory
Total factory Cost Add Opening Work in process inventory Add Closing Work in process inventory


Question # 11 of 15 ( Start time: 06:44:08 PM ) Total Marks: 1
When closing stock is over valuate, what would its effect be on profit?
Select correct option:
It will Increase the profit
It will decrease the profit
No effect on profit
Cannot be determined


Question # 12 of 15 ( Start time: 06:45:19 PM ) Total Marks: 1
Which of the following items of expense are to be add in FOH cost
Select correct option:
Rent of factory + Head office rent + salaries to factory watchman
Rent of factory + factory lighting bill + Directors salaries
Rent of factory + factory lighting bill + Factory employees salaries
Head office rent + Factory property tax + Factory small tools


Question # 13 of 15 ( Start time: 06:46:05 PM ) Total Marks: 1
Increase in material Inventory means:
Select correct option:
The ending inventory is greater than opening inventory
The ending inventory is less than opening inventory
Both ending and opening inventories are equal
Can not be determined

Question # 14 of 15 ( Start time: 06:47:07 PM ) Total Marks: 1
Which of the following is an example of Statutory deductions:
Select correct option:
Deduction as Income Tax
Deduction as social security
Subscriptions to a trade union
None of the given


Question # 15 of 15 ( Start time: 06:48:07 PM ) Total Marks: 1
Planning for future growth is called:
Select correct option:
Capital budgeting
Working capital management
Financial forecasting
Budgeting


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