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 75 of 99
- A. $70,000
- B. $75,000
- C. $65,000
- D. $73,000
Explanation: The growth effect uses the increase in units sold valued at the earlier selling price: (12,500 − 11,000) × $50 = $75,000.
Correct answer: $75,000- A. elasticity incurrence
- B. off shoring
- C. strategy
- D. engineering
Explanation: Strategy is the way an organization aligns its capabilities and resources with opportunities to achieve its objectives.
Correct answer: strategy- A. employee turnover rates
- B. operating capabilities and number of patents
- C. operating income and revenue growth
- D. customer satisfaction and market share
Explanation: The customer perspective measures outcomes such as customer satisfaction, retention, and market share.
Correct answer: customer satisfaction and market share- A. financial perspective
- B. learning and growth perspective
- C. customer perspective
- D. all of above
Explanation: The balanced scorecard evaluates organizational performance through several linked perspectives, including financial results, customer…
Correct answer: all of above- A. benchmark engineered productivity
- B. benchmark total factor productivity
- C. benchmark partial productivity
- D. benchmark total productivity
Explanation: Benchmark total factor productivity compares output with the combined input resources used to produce it, using prior-year input cost as…
Correct answer: benchmark total factor productivity- A. inelastic demand
- B. product differentiation
- C. cost leadership
- D. elastic demand
Explanation: Product differentiation means making a product or service appear distinct and superior through features, quality, design, or service.
Correct answer: product differentiation- A. internal process component
- B. growth component
- C. price recovery component
- D. productivity component
Explanation: The growth component measures the operating-income change caused by producing or selling a different quantity of output.
Correct answer: growth component- A. learning perspective
- B. financial perspective
- C. internal business process perspective
- D. customer perspective
Explanation: The internal business process perspective examines activities such as operations, innovation, and delivery that create value for…
Correct answer: internal business process perspective- A. internal business process perspective
- B. customer perspective
- C. learning perspective
- D. financial perspective
Explanation: The customer perspective measures performance in the market segments the company targets, using indicators such as customer satisfaction…
Correct answer: customer perspective- A. cost leadership
- B. demand inelasticity
- C. differentiated products
- D. both A and C
Explanation: A company facing competitors and new entrants may seek cost leadership, differentiation, or both to build a competitive advantage.
Correct answer: both A and C- A. employee turnover rates
- B. operating capabilities and number of patents
- C. operating income and revenue growth
- D. customer satisfaction and market share
Explanation: Internal business measures relate to operating capabilities and innovation activities, such as patents.
Correct answer: operating capabilities and number of patents- A. reengineering
- B. downsizing
- C. upgrading
- D. none of above
Explanation: Downsizing reduces the organization’s workforce or operating scale and can therefore align resources with lower demand and unused…
Correct answer: downsizing- A. employee turnover rates
- B. operating capabilities and number of patents
- C. operating income and revenue growth
- D. customer satisfaction and market share
Explanation: Learning and growth measures focus on employee capability, retention and development, so employee turnover rates fit this perspective.
Correct answer: employee turnover rates- A. reengineering
- B. differentiation
- C. bargaining
- D. targeting
Explanation: Reengineering means fundamentally redesigning and rethinking business processes to achieve major improvements in quality, speed, cost and…
Correct answer: reengineering- A. differentiation scorecard
- B. bargaining scorecard
- C. leadership scorecard
- D. balanced scorecard
Explanation: A balanced scorecard converts an organisation’s mission and strategy into a connected set of performance measures across financial…
Correct answer: balanced scorecard- A. $60,000
- B. $6,000
- C. $65,000
- D. $6,500
Explanation: The price increase is $11 − $9 = $2 per unit, and applying it to 30,000 units gives a price-recovery effect of $2 × 30,000 = $60,000.
Correct answer: $60,000- A. internal business process perspective
- B. external business process perspective
- C. leadership perspective
- D. reengineering perspective
Explanation: Innovation, operations, and post-sales service are the three commonly discussed sub-processes of the balanced scorecard’s internal…
Correct answer: internal business process perspective- A. product under costing
- B. product over costing
- C. expected under cost
- D. expected over cost
Explanation: A product is undercosted when it consumes relatively large amounts of resources but is assigned too little cost per unit.
Correct answer: product under costing- A. manufactured costing
- B. activity based costing
- C. allocation costing
- D. base costing
Explanation: Activity-based costing treats activities as cost objects and assigns their costs to products or services according to the activities…
Correct answer: activity based costing- A. no cost pool
- B. One or two cost pools
- C. sustained tracing
- D. support tracing
Explanation: Activity-based costing normally uses several cost pools, each linked to an activity and its cost driver, rather than one broad overhead…
Correct answer: One or two cost pools