[amp_mcq option1=”irrelevant” option2=”relevant” option3=”useful” option4=”None of these” correct=”option1″]
Detailed SolutionSunk costs are . . . . . . . . for decision-making
Costing
42. In proper capital budgeting analysis, we evaluate incremental
[amp_mcq option1=”cash flow” option2=”accounting income” option3=”earnings” option4=”operating profit” correct=”option1″]
Detailed SolutionIn proper capital budgeting analysis, we evaluate incremental
43. To decide whether cost is variable cost or fixed cost with respect to some specific activity depends upon
[amp_mcq option1=”units of labour” option2=”unit of production” option3=”time horizon” option4=”units of inventory” correct=”option3″]
44. . . . . . . . . is a technique of material cost control which leads to low carrying cost as a result of low investment in inventory.
[amp_mcq option1=”ABC Analysis” option2=”JIT Inventory System” option3=”VED Analysis” option4=”Perpetual Inventory System” correct=”option1″]
45. The budget which commonly takes the form of budgeted profit and loss account and balance sheet is:
[amp_mcq option1=”cash budget” option2=”master budget” option3=”flexible budget” option4=”fixed budget” correct=”option2″]
46. Equivalent units represent the production of a process in terms of . . . . . . . . units.
[amp_mcq option1=”completed” option2=”total production” option3=”semi-finished” option4=”Both A and C” correct=”option4″]
47. . . . . . . . . is the cost which involves payment to outsiders.
[amp_mcq option1=”Out of pocket cost” option2=”Imputed cost” option3=”Notional cost” option4=”None of these” correct=”option1″]
Detailed Solution. . . . . . . . is the cost which involves payment to outsiders.
48. The expenses which are incurred to increase the demand of the product are known as
[amp_mcq option1=”Selling expenses” option2=”Distribution expenses” option3=”Both A and B” option4=”Neither A nor B” correct=”option1″]
Detailed SolutionThe expenses which are incurred to increase the demand of the product are known as
49. In specification analysis, assumptions related to linearity states but linearity must be within
[amp_mcq option1=”irrelevant range” option2=”relevant range” option3=”significant range” option4=”insignificant range” correct=”option2″]
50. Cost, which is related to specific cost object and economically traceable, will be classified as
[amp_mcq option1=”direct cost” option2=”indirect cost” option3=”line cost” option4=”staff cost” correct=”option1″]