Introduction to Cost Accounting MCQ | Cost Accounting (Free Resource)

Introduction to Cost Accounting MCQ

• MCQs on other topics of Cost Accounting
• Cost Accounting MCQs pdf

1. The cost Accounting system is developed for _______________ .
a) Financial institution
b) Government
c) Management
d) Shareholders

2. Cost Accounting is an _____________ reporting system.
a) External
b) Government
c) Financial
d) Internal

3. A location for which cost is incurred is a ______________ .
a) Revenue centre
b) Cost centre
c) Profit centre
d) Produaction centre

4. Product cost is _______________ cost.
a) Fixed
b) Prime
c) Indirect
d) Variable

5. Cost which can be identified with the output is called as ____________ .
a) Product
b) Fixed
c) Direct
d) Indirect

6. Interest on capital is ____________ cost.
a) Sunk
b) Imputed
c) Direct
d) Indirect

7. Overheads incurred in connection with factory is called _____________ overheads.
a) Office
b) Factory
c) Selling
d) None of the above

8. The cost which remains constant irrespective of output is called _____________ cost.
a) Variable
b) Product
c) Sunk
d) Fixed

9. Direct labour and factory overheads is called ___________ cost.
a) Conversion
b) Direct
c) Packing
d) Indirect

10. Cost of designing is ___________ expenses.
a) Office
b) Production
c) Indirect
d) Direct

1) Management 2) Internal 3) Cost centre 4) Variable 5) Direct 6) Imputed 7) Factory 8) Fixed 9) Conversion 10) Direct