(A) Maximum capacity and practical capacity
(B) Practical capacity and normal capacity
(C) Practical capacity and capacity based on sales expectancy
(D) Maximum capacity and actual capacity.
Tag: Accounting Mcqs
The fixed-variable cost classification has a special significance in preparation of?
(A) Flexible Budget
(B) Master Budget
(C) Cash Budget
(D) Capital Budget
Which of the following is an accounting record?
(A) Bill of Material
(B) Bin Card
(C) Stores Ledger.
(D) All of these.
Which of the following is not a relevant cost?
(A) Replacement cost
(B) Sunk cost
(C) Marginal cost
(D) Standard cost.
Economies and diseconomies of scale explain why the?
(A) Short-run average fixed cost curve declines so long as output increases.
(B) Marginal cost curve must intersect the minimum point of the firm’s average total cost curve.
(C) Long-run average total cost curve is typically U-shaped.
(D) Short-run average variable cost curve is U-shaped.
One of the most important tools in cost planning is?
(A) Direct cost
(B) Cost Sheet
(C) Budget
(D) Marginal Costing.
The cost of obsolete inventory acquired several years ago, to be considered in a keep vs. disposal decision is an example of?
(A) Uncontrollable cost
(B) Sunk cost
(C) Avoidable cost
(D) Opportunity cost
Which of the following bases is not appropriate for apportionment of Transport department‘s cost?
(A) Crane hours
(B) Crane value
(C) Truck Mileage
(D) Truck value