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

41. Relevant cost is __________ for decision making.
a) Standard
b) Relevant
c) Product
d) Urgent

42. The cost incurred by past decision is ________ cost.
a) Estimated
b) Standard
c) Historical
d) Marginal

43. Fixed cost which continues to be incurred even when the plant is temporarily shut down is called as _______ cost.
a) Direct
b) Sunk
c) Shutdown
d) Imputed

44. The cost which involves cash outlay is _________ cost.
a) Out of Pocket C
b) ost Book cost
c) Future cost
d) Postponable cost

45. The cost of next best alternative is ___________.
a) opportunity cost
b) Cash cost
c) Imputed cost
d) None of the above

46. The cost which does not involve any cash outlay is __________ cost.
a) Non Cash
b) Cash cost
c) opportunity cost
d) Imputed cost

47. Increase or decrease in total cost due to change in activity level is __________ .
a) Estimated cost
b) Fixed cost
c) Capacity cost
d) Differential Cost

48. Current purchase price of an identical asset is called as ___________ .
a) Production cost
b) Urgent cost
c) Replacement cost
d) Selling cost

49. The cost which cannot be avoided is called as _________ cost.
a) Committed
b) Discretion
c) Shutdown
d) Imputed

50. The cost which can be avoided by managerical decisions is called as ________ cost.
a) Discretion
b) Committed
c) Marginal
d) Shutdown

41) Relevant 42) Historical 43) Shutdown 44) Out of Pocket Cost 45) opportunity cost 46) Non Cash 47) Differential Cost 48) Replacement cost 49) Committed 50) Discretion