Sikkim-Manipal University of Health Medical and Technological Sciences (SMUHMTS) 2007 M.B.A Financial and Management Accounting - Question Paper

b)Job Costing
c)Process Costing
d)Contract costing
Ans C

Q 17. If Rent of Godown at 60% production capacity is Rs. 12,000/- then at 80% capacity will be
a)16,000
b)20,000
c)9,600
d)12,000
Ans A

Q 18. Due to fire in a factory whole production for the month of March is destroyed. It will have impact on
a)Material Price Variance
b)Labour Rate Variance
c)Material Cost Variance
d)Material Mix Variance
Ans C

Q 19. If earning per share of A Ltd. is Rs. 5/- and Market Price of share is Rs. 40/-. What will be price-earning rates?
a)0.25
b)0.125
c)8
d)35
Ans C

Q 20. Which of the subsequent will not be part of factory cost?
a)Workers Training
b)Drawing Office salary
c)Warehousing Expense
d)Plant depreciation
Ans C

Q 21. If avg. Collection Period is four month & avg. Debtors are 50,000. What will be credit sale?
a)1,50,000
b)2,00,000
c)50,000
d)None
Ans A

Q 22. Which 1 of the subsequent is not direct expense?
a)Cost of special design
b)Cost of Patent
c)Cost of Royalties
d)Carriage Outward
Ans D



Q 23. Master Budget is a __________ budget.
a)Comprehensive
b)Functional
c)Summarized
d)Production
Ans C

Q 24. Direct Material + Direct Labour + Direct Expense = _______________
a)Factory Cost
b)Cost of Production
c)Price Cost
d)None
Ans C

Q 25. De-escalation clause relates to _________
a)Fall in price
b)Rise in Price
c)Constant Price
Ans A

Q 26. Market Research expenses is a
a)Administrative Overhead
b)Distribution Overhead
c)Selling Overhead
d)Factory Overhead
Ans C

Q 27. In situation of Capital Gearing Ratio if we have low gearing, it means __________
a)High Capitalisation
b)Effective Capitalisation
c)Low Capitalisation
d)None of these
Ans:A

Q.28 . Under Accrual method of accounting the transactions are recorded ______

a)As and when the revenues and expenses occur
b)When the every is received or paid
c)Either when the transaction occur or when the cash is received or paid which ever is either
d)None of the above
Ans: A

Q29As per ____concept a business has an separate artificial entity distinct from its owner

Earning:   Approval pending.