Deck 1: Accounting and Financial Analysis

Question 1

…………….is concerned with recording transactions and preparing financial reports for the external and internal users of accounting.

A)management accounting
B)financial accounting
C)cost accounting
D)all of these

Answer 1

financial accounting

Question 2

The Branch of accounting concerned with collection, determining and controlling cost of products and services is called………………

A)management accounting
B)financial accounting
C)cost accounting
D)all of these

Answer 2

cost accounting

Question 3

……………is concerned with providing information to management for taking managerial decisions.

A)management accounting
B)financial accounting
C)cost accounting
D)all of these

Answer 3

management accounting

Question 4

The father of Double Entry system is………………

A)luca pacioli
B)lopus patricia
C)lukas christian
D)none of these

Question 5

……………….is the art of recording, classifying and summarizing in a significant manner and in terms of money, transactions and events, which are in part, at least of financial character and interpreting the results there of.

A)management accounting
B)accounting
C)cost accounting
D)all of these

Question 6

Which among the following do not belong to the category of Accounting ?

A)management accounting
B)financial accounting
C)cost accounting
D)none of these

Question 7

The objective of financial accounting is to find out…………………..

A)profitability and financial position
B)liquidity
C)solvency
D)none

Question 8

……………….journal is used to record credit sale of goods

A)sales journal
B)cash book
C)purchase journal
D)none of these

Question 9

The ………….Management is mainly concerned with the policy decisions.

A)top
B)middle
C)bottom
D)all of these

Question 10

The Prime function of accounting is to ………………………..

A)record economic data
B)provide the informational basis for action
C)classify and record business transactions
D)attain non economic goals

Question 11

The basic function of Management Accounting is to ……………………….

A)record all business transactions
B)interpret the financial data
C)assist the management in performing its functions effectively
D)none of these

Question 12

Management accounting provides invaluable services to Management in performing…………..

A)all management functions
B)co-ordination functions
C)controlling functions
D)none of these

Question 13

Accounting designed to serve parties external to the operating responsibility of the firm is termed as…………….

A)management accounting
B)financial accounting
C)cost accounting
D)none of these

Question 14

Cost Accounting and Management Accounting are ……………….. in nature.

A)complementary
B)contradictory
C)different
D)similar

Question 15

Management accounting has a ……….. scope than cost accounting.

A)wider
B)narrow
C)no
D)none of these

Question 16

…………….is the amount of expenditure [actual or notional] incurred on or attributable to a given thing.

A)expenses
B)costing
C)cost
D)none of these

Question 17

………………..is the technique and process of ascertaining costs

A)cost
B)costing
C)cost accounting
D)none of these

Question 18

………..is the process of accounting for cost which includes the application of cost control methods and ascertainment of profitability of activities

A)cost
B)costing
C)cost accounting
D)none of these

Question 19

Which among the following is not a management accounting technique?

A)standard costing
B)marginal costing
C)project appraisal
D)none

Question 20

………..Accounting is concerned with historical data

A)cost accounting
B)management accounting
C)financial accounting
D)none

Question 21

……………..is the process of identifying the financial strengths and weakness of the firm by properly establishing relationship between the items of balance sheet and Profit and Loss Account

A)financial statements
B)financial analysis
C)trend analysis
D)all of these

Question 22

……………explains what has happened to a business unit as a result of operations between two balance sheet dates.

A)income statement
B)profit and loss account
C)both of these
D)none

Question 23

The analysis done by investors , credit agencies , government agencies and other creditors who have no access to the internal records of a company is known as ……………..

A)internal analysis
B)horizontal analysis
C)external analysis
D)none of these

Question 24

The analysis done by persons who have access to the books of account and other information related to the business is termed as……………

A)internal analysis
B)horizontal analysis
C)external analysis
D)none of these

Question 25

In ………………..type of analysis , financial statements for a number of years are reviewed and analyzed.

A)internal analysis
B)horizontal analysis
C)external analysis
D)none of these