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MCQs

Total Questions : 146 | Page 6 of 15 pages
Question 51. In manufacturing companies, the revenue and cost drivers are categorized under
  1.    variable costs
  2.    costs of goods sold
  3.    number of units sold
  4.    all of above
 Discuss Question
Answer: Option C. -> number of units sold
Answer: (c).number of units sold
Question 52. The quantity of manufactured goods are sold at which the total cost equal, is known as
  1.    breakeven point
  2.    cost point
  3.    revenue point
  4.    quantity point
 Discuss Question
Answer: Option A. -> breakeven point
Answer: (a).breakeven point
Question 53. If the selling price is $2000 and the contribution margin per unit is $800, then the contribution margin percentage would be
  1.    $14,000
  2.    $25,700
  3.    $16,000
  4.    $25,000
 Discuss Question
Answer: Option A. -> $14,000
Answer: (a).$14,000
Question 54. If the fixed cost is $50000 and the contribution margin percentage is 20%, then the breakeven revenue will be
  1.    $100,000
  2.    $150,000
  3.    $250,000
  4.    $225,000
 Discuss Question
Answer: Option C. -> $250,000
Answer: (c).$250,000
Question 55. If the contribution margin per unit is $700 per unit and the break-even per unit is $40, then the fixed cost would be
  1.    $35,000
  2.    $28,000
  3.    $17,500
  4.    $82,000
 Discuss Question
Answer: Option B. -> $28,000
Answer: (b).$28,000
Question 56. As compared to irrelevant cost, the occurrence of relevant costs must
  1.    have high correlation
  2.    be in future
  3.    be in past
  4.    be zero correlated
 Discuss Question
Answer: Option B. -> be in future
Answer: (b).be in future
Question 57. The decisions made by team of individuals or single person, whether to outsource the products or in-source are classified as
  1.    demand or supply decisions
  2.    make or buy decisions
  3.    relevant or irrelevant decision
  4.    idle or busy decisions
 Discuss Question
Answer: Option B. -> make or buy decisions
Answer: (b).make or buy decisions
Question 58. An example of quantitative factor is
  1.    employee behavior at workplace
  2.    employee satisfaction
  3.    employee morale
  4.    cost of materials
 Discuss Question
Answer: Option D. -> cost of materials
Answer: (d).cost of materials
Question 59. The relevant costs are classified in relevance concepts as
  1.    expected future costs
  2.    serial costs
  3.    parallel costs
  4.    abnormal costs
 Discuss Question
Answer: Option A. -> expected future costs
Answer: (a).expected future costs
Question 60. The difference that exists between total revenues, can be earned from two different alternatives is termed as
  1.    independent revenue
  2.    incremental revenue
  3.    differential revenue
  4.    dependent revenue
 Discuss Question
Answer: Option C. -> differential revenue
Answer: (c).differential revenue

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