πŸ§ͺ Business Accounting MCQ Quiz Hub

Business Accounting MCQ

Choose a topic to test your knowledge and improve your Business Accounting skills

The amount spent by a publishing company to pay for manufacturing its books is called ________.





βœ… Correct Answer: 3

Under the _____, partnership assets are arranged in a certain order to pay any outstanding debts.





βœ… Correct Answer: 3

When a business records accrued interest expense on a note payable ________.





βœ… Correct Answer: 4

Because ________ are less liquid for the depositor than ________, they earn higher interest rates.





βœ… Correct Answer: 3

Bank capital is equal to ________ minus ________.





βœ… Correct Answer: 1

The contribution margin income statement presents ________ below the contribution margin line.





βœ… Correct Answer: 1

When a division is operating at capacity, the transfer price should be ________.





βœ… Correct Answer: 3

With _____, marketers group people by their values, attitudes, personality, and lifestyle.





βœ… Correct Answer: 2

Set up time is disregarded as an improvement priority under the ____ manufacturing concept.





βœ… Correct Answer: 2

By increasing ________, a manager can increase operating income under absorption costing.





βœ… Correct Answer: 2

Calculating gross pay for hourly workers is an example of ________ decision making.





βœ… Correct Answer: 1

Changes in activity have a(n) _________ effect on fixed costs per unit





βœ… Correct Answer: 1

When a company uses the allowance method to measure bad debts, ________.





βœ… Correct Answer: 2

When discussing weighing schemes for calculating the weighted average cost of capital, ________.





βœ… Correct Answer: 1

When the sales price per unit decreases, the contribution margin per unit ________.





βœ… Correct Answer: 2

The income statement of a service company will most likely include _______





βœ… Correct Answer: 1

When a company pays cash for a long-term investment in bonds, ________.





βœ… Correct Answer: 1

________ includes general management, finance, accounting, legal, and government affairs.





βœ… Correct Answer: 3

__________ is the total combined values of all of the company’s customers.





βœ… Correct Answer: 4

A shortened form of the ledger is called a ________.





βœ… Correct Answer: 4

An entity that buys goods and sells them to customers at a markup is a ________.





βœ… Correct Answer: 1

An unfavorable flexible budget variance in operating income might be due to a(n) ________.





βœ… Correct Answer: 4

At the maturity of a note payable, a borrower will pay ________.





βœ… Correct Answer: 1

Discounted cash flow methods, such as net present value and internal rate of return, ________.





βœ… Correct Answer: 3

Dividends normally carry a _______ balance and are shown in the ______________.





βœ… Correct Answer: 3

In multiple regression, plot the residuals against ____ to detect changing variability





βœ… Correct Answer: 1

Inventory reduction is a ____ principle.





βœ… Correct Answer: 4

Payment cards with disposable numbers are known as _____.





βœ… Correct Answer: 3

The commitment concept says that plans should ________.





βœ… Correct Answer: 1

The current portion of long-term notes payable is ________.





βœ… Correct Answer: 3

The direct materials budget is prepared using information from the ________ budget.





βœ… Correct Answer: 4

The ima?s ethical standards include all of the following except ________.





βœ… Correct Answer: 3

The predetermined overhead allocation rate is calculated by dividing ________.





βœ… Correct Answer: 4

When preparing the cost of goods sold budget, ________.





βœ… Correct Answer: 4

_____ are people who are prompted to apply for a job by someone within the organization.





βœ… Correct Answer: 4

The amount of net income is transferred from ________ to ________.





βœ… Correct Answer: 2

____ manufacturing philosophy emphasizes quality and zero defects.





βœ… Correct Answer: 1

All fixed costs are listed ________ on a contribution margin income statement.





βœ… Correct Answer: 4

Given a price of p2, this firm in a purely competitive industry should ___________





βœ… Correct Answer: 4

The ________ capital budgeting method uses accrual accounting income.





βœ… Correct Answer: 1

Under variable costing, a unit of a product includes ________.





βœ… Correct Answer: 2

Reduction in production cost results in ________.





βœ… Correct Answer: 3

The entry to record the purchase of direct materials on account would include a ________.





βœ… Correct Answer: 1

The interest rate that investors demand to earn for loaning their money is known as the ________.





βœ… Correct Answer: 4

Total revenue divided by ________ = units sold.





βœ… Correct Answer: 3

Underallocated overhead occurs when ________.





βœ… Correct Answer: 4

A cost center responsibility report ________.





βœ… Correct Answer: 1

In a negative message regarding a transaction, the salutation should be _____.





βœ… Correct Answer: 3

When 1,000 shares of $3 stated value common stock is issued at $18 per share, ________.





βœ… Correct Answer: 2

All of the following are assets except ________.





βœ… Correct Answer: 4

The revenue recognition principle guides accountants in ________





βœ… Correct Answer: 4

_______ relate to the effort spent in making sales.





βœ… Correct Answer: 4

When deciding whether to discontinue a segment of a business, relevant costs include ________.





βœ… Correct Answer: 4

Activity drivers can be classified as either ____ or ____.





βœ… Correct Answer: 1

At the internal rate of return, the present value of net cash inflows will equal the ________.





βœ… Correct Answer: 2

A short-term creditor is primarily interested in the __________ of the borrower.





βœ… Correct Answer: 1

The cost of goods sold is subtracted from sales to arrive at _____.





βœ… Correct Answer: 1

________ are a company's decision makers.





βœ… Correct Answer: 1

Long-term investments are made by the investment center manager for the purpose of ________.





βœ… Correct Answer: 1

Volatility refers to the degree of ________ within an environment.





βœ… Correct Answer: 2

________ is pay stated as a percentage of a sale amount.





βœ… Correct Answer: 3

A ____ invests money in the business but has no management responsibility.





βœ… Correct Answer: 2

A _____ cost occurs when the amount used varies based on the volume of service provided.





βœ… Correct Answer: 4

____ define(s) the specific types of people the advertiser wants to reach.





βœ… Correct Answer: 1

_____ are numbers or letters assigned in a specific order.





βœ… Correct Answer: 1

When a company receives cash from customers before earning the revenue, _________ will be credited.





βœ… Correct Answer: 1

____ manufacturing deals with several suppliers in hopes of finding the best price.





βœ… Correct Answer: 1

A correlation coefficient of _____ provides the greatest possible risk reduction to the firm.





βœ… Correct Answer: 1

If a company retires preferred stock, ________.





βœ… Correct Answer: 4

The ________ capital budgeting model considers both profitability and the time value of money.





βœ… Correct Answer: 3

Disaster recovery typically looks at the __________.





βœ… Correct Answer: 4

In the accompanying figure, the book rep table displays in ____.





βœ… Correct Answer: 3

Proponents of the emh typically advocate __________.





βœ… Correct Answer: 3