Question:

The prime function of accounting is to:

A.

record economic data

B.

provide the informational basis for action

C.

classify and record business transactions

D.

attain non-economic goals.

Answer» b. provide the informational basis for action

Question:

__do not give the returns during the same period during which they are paid for

A.

Intangible assets

B.

Fixed assets

C.

Both (A) and (B)

D.

None of the above

Answer» b. Fixed assets

Question:

Who coined the concept of management accounting?

A.

R.N Anthony

B.

James H. Bliss

C.

J. Batty

D.

American Accounting Association

Answer» b. James H. Bliss

Question:

Management accounting provides invaluable services to management in performing:

A.

All management functions

B.

Coordination functions

C.

Controlling functions

D.

Directing function

Answer» a. All management functions

Question:

The definition ‘Management Accounting is the presentation of accounting information in such a way as to assist management in the creation of policy and the day-to-day operation of an undertaking.’

A.

Anglo-American Council on Productivity

B.

AICPA

C.

Robert N. Anthony

D.

All of the above

Answer» a. Anglo-American Council on Productivity

Question:

Following is (are) called the element(s) of Cost

A.

Material

B.

Labour

C.

Expenses

D.

All of the above

Answer» d. All of the above

Question:

The following is (are) the indirect labour cost(s)

A.

Wages paid to storekeeper

B.

Salary of works manager

C.

Wages paid to gatekeeper

D.

All of the above

Answer» d. All of the above

Question:

Management accounting is related with
(i) The problem of choice making
(ii) Recording of transactions
(iii) Cause and effect relationships

A.

(i) and (ii)

B.

(ii) and (iii)

C.

(i) and (iii)

D.

All are false

Answer» c. (i) and (iii)

Question:

Which of the following are tools of management accounting?
(i) Decision accounting
(ii) Standard costing
(iii) Budgetary control
(iv) Human Resources Accounting

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:

Cost accounting mainly helps the management in:

A.

Earning extra profits

B.

Providing information to the management for decision-making.

C.

Fixing process of the products.

D.

Selling products

Answer» b. Providing information to the management for decision-making.