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