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MCQs

Total Questions : 138 | Page 8 of 14 pages
Question 71. For estimation of each cost pool for cost function, the attention must be paid to
  1.    cost object hierarchy
  2.    management hierarchy
  3.    price hierarchy
  4.    cost hierarchy
 Discuss Question
Answer: Option D. -> cost hierarchy
Answer: (d).cost hierarchy
Question 72. The weak relationship between cost and cost driver is indicated on a regression line, which is
  1.    curved
  2.    slightly sloped
  3.    completely sloped
  4.    dotted
 Discuss Question
Answer: Option B. -> slightly sloped
Answer: (b).slightly sloped
Question 73. In assumptions testing, the violation of the constant variance is called
  1.    heteroscedasticity
  2.    heterogeneous
  3.    homogenous
  4.    homoscedasticity
 Discuss Question
Answer: Option A. -> heteroscedasticity
Answer: (a).heteroscedasticity
Question 74. A technique for estimating regression line, which minimizes the sum of vertical deviations squares is classified as
  1.    variable technique
  2.    least square technique
  3.    indexed technique
  4.    fixed technique
 Discuss Question
Answer: Option B. -> least square technique
Answer: (b).least square technique
Question 75. The type of relationship stating "how changes in cost driver drives cause changes in cost" will be termed as
  1.    marginal plausibility
  2.    economic plausibility
  3.    financial plausibility
  4.    market plausibility
 Discuss Question
Answer: Option B. -> economic plausibility
Answer: (b).economic plausibility
Question 76. An assumption of specification analysis, which states all the values of residuals which are uniformly scattered around regression line is classified as
  1.    abnormality of residuals
  2.    normality of regression
  3.    normality of residuals
  4.    abnormality of regression
 Discuss Question
Answer: Option C. -> normality of residuals
Answer: (c).normality of residuals
Question 77. The slope coefficient of cost function is zero because it intersects the
  1.    x-axis at one
  2.    y-axis at constant
  3.    x-axis at constant
  4.    y-axis at one
 Discuss Question
Answer: Option B. -> y-axis at constant
Answer: (b).y-axis at constant
Question 78. The goodness of fit is used to measure the wellness of
  1.    actual values
  2.    predicted values
  3.    residual values
  4.    indexed values
 Discuss Question
Answer: Option B. -> predicted values
Answer: (b).predicted values
Question 79. The slope coefficient is 0.75 and the difference in machine hours is $65000, then difference in cost would be
  1.    $86,667
  2.    $48,750
  3.    $85,000
  4.    $55,000
 Discuss Question
Answer: Option A. -> $86,667
Answer: (a).$86,667
Question 80. In regression equation, an evaluation criteria considers the significance of
  1.    independent variable
  2.    dependent variable
  3.    significance plotting
  4.    insignificance plotting
 Discuss Question
Answer: Option A. -> independent variable
Answer: (a).independent variable

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