All Free Accounting MCQs with Answers
Every Accounting question in the bank, across all chapters, each with the correct answer and a written explanation. Free and unlimited, with no account needed.
1,971 questions · page 73 of 99
- A. $5,000
- B. $14,000
- C. $4,000
- D. $9,000
Explanation: Under throughput accounting, throughput contribution equals total revenue minus direct material cost, because direct materials are treated…
Correct answer: $4,000- A. customer measures
- B. financial measures
- C. measures of growth and learning
- D. measures of internal business processes
Explanation: On-time performance and customer-response time show how well the organisation serves its customers, so they are customer measures.
Correct answer: customer measures1443. The costs that are incurred to prevent low quality goods production are classified as ___________?
- A. costs of quality
- B. costs of learning
- C. costs of reengineering
- D. costs of spoilage inventory
Explanation: Costs incurred to prevent defective or low-quality output belong to the quality-cost category, specifically prevention costs within that…
Correct answer: costs of quality- A. manufacturing cycle efficiency
- B. value added manufacturing time
- C. responding time
- D. delivery time
Explanation: Manufacturing cycle efficiency equals value-added manufacturing time divided by total manufacturing time, so multiplying total…
Correct answer: value added manufacturing time- A. relevant costing diagram
- B. cause and effect diagram
- C. control chart
- D. pareto diagram
Explanation: A control chart plots successive observations of a process at regular intervals and compares them with control limits to detect unusual…
Correct answer: control chart- A. measures of growth and learning
- B. measures of internal business processes
- C. customer measures
- D. financial measures
Explanation: Setup time, manufacturing cycle efficiency, and manufacturing time measure how effectively the organisation converts inputs into products…
Correct answer: measures of internal business processes- A. manufacturing lead time
- B. manufacturing cycle time
- C. customer response time
- D. system process time
Explanation: Customer response time covers the complete period from placing an order to receiving delivery.
Correct answer: customer response time- A. employee satisfaction
- B. employee turnover
- C. employee training
- D. employee failures
Explanation: Employee satisfaction is measured by dividing employees reporting high satisfaction by the total number surveyed.
Correct answer: employee satisfaction- A. throughput costs
- B. investments
- C. operating costs
- D. marginal costsSearch Public Records
Explanation: These costs are classified as investments because they represent resources committed to production capability and future benefits…
Correct answer: investments- A. statistical process control
- B. statistical failure control
- C. statistical control of prevention cost
- D. statistical control of sunk cost
Explanation: Statistical quality control uses statistical techniques to monitor and control a production process, so it is also called statistical…
Correct answer: statistical process control- A. manufacturing efficiency time
- B. manufacturing cycle time
- C. responding time
- D. value chain time
Explanation: Manufacturing cycle time includes the time spent manufacturing plus the time an order waits within the production process.
Correct answer: manufacturing cycle time- A. measures of growth and learning
- B. measures of internal business processes
- C. customer measures
- D. financial measuresGet Quality Software
Explanation: Inventory carrying costs and discounts granted because of delayed deliveries affect revenue, costs, and profitability, making them…
Correct answer: financial measuresGet Quality Software- A. employee turnover ratio
- B. employee empowerment ratio
- C. employee satisfaction ratio
- D. employee training percentage
Explanation: Employee turnover ratio measures the rate at which employees leave and is calculated as employees who left divided by average employees.
Correct answer: employee turnover ratio- A. 0.6
- B. 0.5
- C. 0.2
- D. 0.7
Explanation: The ratio is calculated as 40 divided by 200, giving 0.20, or 20%. This measures the proportion of the workforce that left during the…
Correct answer: 0.2- A. throughput costs
- B. investments
- C. operating costs
- D. marginal costs
Explanation: Operating costs are the ongoing costs of running production and business operations, including wages, depreciation, utilities and rent.
Correct answer: operating costs- A. statistical process control
- B. statistical failure control
- C. statistical control of prevention cost
- D. statistical control of sunk costGet Quality Software
Explanation: Statistical process control uses statistical techniques to distinguish natural random variation from unusual, assignable variation in a…
Correct answer: statistical process control- A. 42.625
- B. 36.724
- C. 32.625
- D. 41.625
Explanation: Manufacturing cycle efficiency equals value-added manufacturing time divided by total manufacturing time.
Correct answer: 32.625- A. relevant costing diagram
- B. cause and effect diagram
- C. control chart
- D. Pareto chart
Explanation: A Pareto chart displays the frequency or relative importance of defects, helping identify which defects occur most often.
Correct answer: Pareto chart- A. effective performance
- B. efficient performance
- C. in-time performance
- D. on-time performance
Explanation: On-time performance measures whether goods or services are delivered by the date promised in the contract or order.
Correct answer: on-time performance1460. The time a company takes until a good is produced after order placement is known as ___________?
- A. manufacturing lead time
- B. manufacturing cycle efficiency
- C. customer response time
- D. system process time
Explanation: Manufacturing lead time is the elapsed time from placing an order until the product is completed.
Correct answer: manufacturing lead time