Question:

Which of the following statements are false about management accounting?
(i) Management accounting is concerned with historical events.
(ii) Management accounting is related only with such instances which can be expressed in monetary terms.
(iii) Management accounting is a part of Financial Management
(iv) Management accounting information can be disclosed to outsiders.

A.

(i), (ii) and (iii)

B.

(i), (iii) and (iv)

C.

(i),(ii) and (iii)

D.

(i), (ii), (iii), (iv)

Answer» c. (i),(ii) and (iii)

Question:

The term management accounting was first coined in

A.

1960

B.

1950

C.

1945

D.

1955

Answer» b. 1950

Question:

The basic function of management accounting is to:

A.

record all business transactions

B.

interpret the financial data

C.

assist the management in performing its functions effectively

D.

None of the above

Answer» c. assist the management in performing its functions effectively

Question:

Which of the following is true about management accounting?
(i) Management accounting is associated with presentation of accounting data.
(ii) Management accounting is extremely sensitive to investors needs.

A.

Only (i)

B.

Only (ii)

C.

Both (i) and (ii)

D.

None of the above

Answer» a. Only (i)

Question:

Management accounting is
(i) Subjective
(ii) Objective

A.

Only (i)

B.

Only (ii)

C.

Both (i) and (ii)

D.

None of the above

Answer» a. Only (i)

Question:

Management accounting involves

A.

Preparation of financial statements

B.

Analysis and interpretation of data

C.

Recording of transactions

D.

None of the above

Answer» b. Analysis and interpretation of data

Question:

_________ Accounting becomes a source of information for Management Accounting.

A.

Financial

B.

Cost

C.

Both (A) and (B)

D.

None of the above

Answer» a. Financial

Question:

Profit and Loss Account debit side includes

A.

Salary

B.

Discount allowed

C.

Postage & telegram

D.

All of the above

Answer» d. All of the above

Question:

Management accounting deals with

A.

Quantitative information

B.

Qualitative information

C.

Both a and b

D.

None of the above

Answer» c. Both a and b

Question:

The management accounting can be stated an extension of
(i) Cost Accounting
(ii) Financial Accounting
(iii) Responsibility Accounting

A.

Both (i) and (ii)

B.

Both (i) and (iii)

C.

Both (ii) and (iii)

D.

(i), (ii), (iii)

Answer» d. (i), (ii), (iii)