Costing – Set 4 January 30, 2025 by aasi 0% Report a question What’s wrong with this question? You cannot submit an empty report. Please add some details. 1234567891011121314151617181920212223242526272829303132333435363738394041424344454647484950 Costing – Set 4 Dear ! This is Costing – Set 4 Quiz and it contains 50 questions. Keep Learning! 1 / 50 1) Quantitative expression, of action plan by management of firm for a specified period of time is classified as complexity process batching budget 2 / 50 2) Degree of influence that a manager would have on revenues, cost, profit and investment is known as influential power responsibility all of these controllability 3 / 50 3) Budgeting method, which incorporates an improvement anticipated in budgeting period into budget numbers can be classified as number budgeting predict budgeting kaizen budgeting anticipated budgeting 4 / 50 4) Model which refers possibility for management to conduct sensitivity analysis can be categorized under financial planning models cost planning models revenues forecast models investment planning models 5 / 50 5) Cash receipts is added in to beginning cash balance to calculate total cash available total revenue total goods manufactured total goods sold 6 / 50 6) If indirect manufacturing labour is $20000, power cost is $5000, maintenance and supplies are of $10000 then manufacturing budget will be $5,000 $35,000 $45,000 $15,000 7 / 50 7) Master budget includes all projections of company’s budget and focuses on financial plan both B and C serial correlation marketing plan 8 / 50 8) Plan of action; how an organization meets its opportunities and capabilities is classified as strategy complex plan action plan step wise plan 9 / 50 9) Budget plan in many companies is also referred as sales plan cost plan marketing plan profit plan 10 / 50 10) Focus on budget cost of all activities necessary to sell and produce market offerings is known as production based budgeting cost based budgeting raw material budgeting activity based budgeting 11 / 50 11) Compelling strategic plan, promoting coordination and providing framework of performance are disadvantages of budget advantages of costing method advantages of budget disadvantages of costing method 12 / 50 12) Continuous budget is also known as specific budget pin budget rolling budget past budget 13 / 50 13) Financial statements and budget plans of some companies are also called cost statement market statement sales statement preformed statement 14 / 50 14) Mathematical relationships exist between operating and financing activities that affect master budget are called financial planning models master plan models math plan model operating plan models 15 / 50 15) An arrangement of line of authority within company is classified as company structure line of authority organization structure line of responsibility 16 / 50 16) Factor which provides hedge to managers in adverse and unexpected circumstances is known as costly slack budgetary slack influential slack target slack 17 / 50 17) What-if technique, which examines changes in results if original prediction would not be achieved is called original analysis sensitivity analysis change analysis predicted analysis 18 / 50 18) Last step in developing operating budget is implementing income implementing decision efficient implementation effective implementation 19 / 50 19) First step in developing an operating budget is to identify product identify problem identify percentiles identify quartiles 20 / 50 20) Manager who is responsible only for revenues of company can be categorized under the revenue center profit center cost center investment center 21 / 50 21) Type of budget, which is always available for specified period of future is called continuous budget batch budget period budget discontinued budget 22 / 50 22) Cost influences by responsibility center manager who is considered as center cost controllable cost manager cost influential cost 23 / 50 23) If budget sales units are 5000, ending inventory is 4000 units and beginning inventory is 1000, then budget production will be 5000 units 10000 units 4000 units 8000 units 24 / 50 24) System which measures budget, action and plan of each responsibility center is known as planned accounting budgeted accounting responsibility accounting action accounting 25 / 50 25) Planning of financial aid to coordinate; what is to be done for implementation of plan is classified as complexity batching process budget 26 / 50 26) Higher and accurate budgeted profit forecast of managers lead to low incentive bonus influence bonus high incentive bonus revenue bonus 27 / 50 27) Variance used by managers to check whether company has performed well and properly implemented strategies is considered as performance evaluation proper implementation strategic implementation well evaluated 28 / 50 28) Practice, which makes target more achievable by underestimating revenues or overestimating cost is called cost slack budgetary slack target slack revenue slack 29 / 50 29) Balancing of all aspects of products or services and all departments in company are classified as budgeting coordination complex plan annual profit plan 30 / 50 30) Second step in developing operating budget is to obtain information plan coordination plan accounts coverage information 31 / 50 31) Part of master budget, which covers capital expenditures, budgeted statement of cash flows and balance sheet is classified as balanced budget financial budget capital budget cash flows budget 32 / 50 32) In Kaizen budgeting, costs are based on all improvements which is based on past prices based on current practice to be implemented based on sold quantity 33 / 50 33) Schedule of expected disbursements and cash receipts is considered as planned schedule price schedule market budget cash budget 34 / 50 34) Document, which contains information about used material sequence, detail and quantity of raw material is classified as bill of detail bill of raw materials bill of materials bill of sequence 35 / 50 35) Direct labour and salary outlays direct material purchases, which are classified as price disbursements budget disbursements goods disbursements cash disbursements 36 / 50 36) Non-financial and financial aspects of plan by company management, is classified as budget complexity batching process 37 / 50 37) An act of making sure, that all employees must understand goals is classified as budgeting communication coordination annual profit plan 38 / 50 38) starting point in operating budget is material list list of investors cost budget revenue budget 39 / 50 39) Budgeted income statement and supporting budget schedules are categorized under focused statement slack statement operating budget budgeted income statement 40 / 50 40) Budget, which predicts effect of given level of operations on a cash position is classified as cash budget planned schedule price schedule market budget 41 / 50 41) Budget sales, plus target ending finished goods inventory, minus beginning finished goods inventory is equal to budget production stand by production planned production setup production 42 / 50 42) Better administration of budget in budgeting plans require intelligent interpretations persuasion all of these participation 43 / 50 43) Significant feature of Kaizen Budgeting is cost suggestion price suggestion customer suggestion employee suggestion 44 / 50 44) Budget which specifies an operating and financial plan, usually for a fiscal year or any specific period of time is classified as specific budget annual budget master budget operating budget 45 / 50 45) If budget sales units are 2000, an ending inventory is 3000 units and beginning inventory is 1000, then budget production would be no units 8000 units 6000 units 4000 units 46 / 50 46) Type of accounting, which focuses on whom should be asked for information and whom not will be categorized as blame accounting responsibility accounting information accounting focused accounting 47 / 50 47) In master budgeting, cost drivers for manufacturing overhead costs are setup labour-hours direct manufacturing labour-hours both a and b budgeted labour-hours 48 / 50 48) Third step in developing operating budget is analysis of batches analysis of batches analysis of products making predictions about future 49 / 50 49) Type of plan of a company, which quantities expectations of cash flows, income and financial position is known as complexity budget batching process 50 / 50 50) Fourth step in development of operating budget is to evaluate alternatives predicted improvements efficiency improvements choose alternatives Your score isThe average score is 0%🎉 Challenge alert! 💡 Share this quiz with your friends and see who scores the highest! 🏆🤩🔥 LinkedIn Facebook Follow Us @ 0% Restart quiz Exit We’d love to hear your thoughts! 📝 Share your valuable review with us. 🙌 🌟 Thank you for your support! 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