Which Of The Following Is Not A Financial Control?

[MCQs on Budget and Monetary Command, MCQ on Budgets, Management Bookkeeping MCQ, Sales Budgets MCQs, Production Upkeep MCQs, Flexible Budget MCQ ]

MCQs on Budget AND BUDGETARY Control

MULTIPLE CHOICE QUESTIONS AND ANSERS (MCQs)

Hey guys, welcome back. In this post you lot will get more 135+ MCQs on budget and monetary control. As well you will go hither Sales Budgets MCQs, Production Budget MCQs, Flexible Upkeep MCQ and cash budget mcqs.

Y'all tin can also go through various links given below in the article for Chapter wise Management Bookkeeping MCQs.

Choose the right options (MCQs):

ane. The bones difference between a flexible budget and fixed budget is that a fixed budget:

a) Is concerned with stock-still expenses whereas flexible budget is on different activity levels.

b) Cannot exist changed whereas flexible budget tin exist easily inverse.

c) Is a budget for single measure of activity whereas flexible budget is on different activity levels.

d) None of the above

Ans: c) Is a budget for single measure out of activity whereas flexible budget is on different activity levels.

2) A flexible budget requires careful report and classification of expenses into:

a) By and electric current expenses

b) Stock-still, Semi-variable and variable expenses

c) Authoritative, selling and factory expenses

d) None of the above

Ans: b) Fixed, Semi-variable and variable expenses

three) Which one of the following is a financial upkeep?

a) Cash Budget

b) Working Capital Budget

c) Capital budget

d) All of the above

Ans: d) All of the above

4) Which i of the following is non a financial budget?

a) Cash budget

b) Capital letter budget

c) Budgeted funds period statement

d) Sales budget

Ans: d) Sales budget

v) Which one the post-obit are functional budget?

a) Production and sales budget

b) Raw material upkeep

c) Labour budget

d) All of the above

Ans: d) All of the above

six) Which one of the following is not a functional budget?

a) Sales budget

b) Purchasing budget

c) Product budget

d) Budgeted balance sheet

Ans: d) Budgeted balance canvass

seven) Responsibility areas are divided into three broad categories. Which one of the post-obit is not included in information technology?

a) Cost/Expense heart

b) Profit Centre

c) Investment Eye

d) Loan heart

Ans: d) Loan centre

8) Which from the options below is not a step from budgetary command?

a) Establishing a plan or target of performance

b) Recording of actual performance

c) Comparing the actual with approaching figures to find out variances.

d) None of the above

Ans: d) None of the to a higher place

nine) Long term budgets are prepared for:

a) Capital Expenditure

b) Inquiry and Evolution

c) Long Term Finances

d) All of the above

Ans: d) All of the above

10) Brusk term budget is prepared for:

a) Liquidity

b) Working Capital Management

c) To practise command over day to day expenditure

d) All of the above

Ans: d) All of the above

11) Which of the following is not a function (component) of master budget?

a) Sales budget

b) Production budget

c) Cash budget

d) All of the higher up

Ans: d) All of the above

12) Greenbacks budget is based on:

a) Sales forecasts

b) Expenses budgets

c) Capital expenditure budget

d) All of the in a higher place

Ans: d) All of the above

13) Budgetary control helps in implementation of:

a) Standard Costing

b) Marginal Costing

c) Ratio Analysis

d) Technical Analysis

Ans: a) Standard Costing

14) Budgetary control system facilitates centralized control with:

a) Decentralized activity

b) Centralized activity

c) Both a) and b)

d) None of the higher up

Ans: c) Both a) and b)

15) Budgetary command system acts as a friend, philosopher and guide to the:

a) Management

b) Shareholders

c) Creditors

d) Employees

Ans: a) Management

sixteen) The procedure of budgeting helps in the control of:

a) Cost of Production

b) Short term liquidity position

c) Uppercase Expenditure

d) All of the above

Ans: d) All of the in a higher place

17) The main objective of budgetary command is:

a) To define the goals of the organisation

b) To co-ordinate unlike department or sub-units

c) To institute a organization of planning and command

d) All of the higher up

Ans: d) All of the above

eighteen) Summary budget may be regarded as:

a) Functional budgets

b) Performance budget

c) Master budget

d) Sales budget

Ans: c) Master Budget

19) The budgets are classified on the ground of:

a) Capacity

b) Time

c) Functions

d) All of the above

Ans: d) All of the above

twenty) Which budget is the outset step of budgetary organization and all other budgets depends on it?

a) Greenbacks Budget

b) Production Budget

c) Sales Budget

d) Master Budget

Ans: c) Sales Budget

21) Which of the following is not an advantage of budgeting?

a) It defines the objective of the organisation

b) Information technology indicates the efficiency of the organisation

c) It helps in measuring productive efficiency

d) Information technology creates coordination between various levels of direction

Ans: d) Information technology creates coordination between various levels of management

22) Which of the following is not objective of budgetary control process?

a) To ascertain the goals of the organization

b) To co-ordinate different department or sub-units

c) To establish a organisation of planning and control

d) To aid in fixation of selling cost

Ans: d) To aid in fixation of selling price

23. Which i of the following is non part of thebudgetary command procedure?

a) Preparation and Presentation of budgets.

b) Approval and execution of budgets

c) Command of budgets

d) None of the in a higher place

Ans: d) None of the above

24) Which of the following statements about budgeting is wrong?

a) Budgeting may be said to be the fine art of building a upkeep.

b) Flexible budgets change with the level of action.

c) Budgeting may be said to be an act of determining costing standards.

d) A budget centre is that part of the organization for which the upkeep is prepared.

Ans: c) Budgeting may exist said to exist an act of determining costing standards.

25) Select the correct statement about the masterbudget.

a) Master budget incorporate all functional budgets.

b) Master upkeep is prepared by upkeep committee.

c) Preparation of master upkeep starts with sales upkeep.

d) All of the above

Ans: d) All of the in a higher place

26) Which of the following statements nighbudgeting is false?

a) Monetary command and standard costing are aforementioned.

b) Budgetary control does not facilitate introduction of 'Direction by Exception'.

c) Budgeting may exist said to be the fine art of building a budget.

d) A central gene or principal factor does not influence the preparation of all other budgets.

Ans: b) Budgetary control does not facilitate introduction of 'Management by Exception'.

Sales budget MCQs

27) Sales budget is a:

a) Functional budget

b) Financial budget

c) Master budget

d) None of the above

Ans: a) Functional budget

28) Sales budget shows the sales details as:

a) Production wise

b) Area wise

c) Region wise

d) All of the higher up

Ans: d) All of the to a higher place

29) Sales budget shows the sales details by:

a) Channel of distribution

b) Salesman

c) Month wise

d) All of the above

Ans: d) All of the above

30) Commonly the sales budget is stated in terms of:

a) Value

b) Quantity

c) Both of the above

d) None of the above

Ans: c) Both of the above

31) Sales budget is prepared past whom?

a) Production Manager

b) Sales Director

c) Managing Manager

d) None of the in a higher place

Ans: b) Sales Manager

32) Regarding the salesupkeep, which of the post-obit statements is incorrect?

a) Sales upkeep is a functional budget.

b) Commonly the sales budget is stated in terms of quantity and value.

c) Starting indicate of the development of master budget is preparation of sales upkeep.

d) Sales upkeep is based on product budget.

Ans: d) Sales upkeep is based on production budget.

Product budget MCQs

33) Product budget is dependent on:

a) Buy budget

b) Sales budget

c) Cash budget

d) Overhead budgets

Ans: b) Sales Upkeep

34) Which of the following are subsidiary of production budget?

a) Raw textile budget

b) Labour cost budget

c) Manufacturing overheads budget

d) All of the above

Ans: d) All of the to a higher place

35) Normally the product upkeep is stated in terms of:

a) Value

b) Quantity

c) Both of the higher up

d) None of the above

Ans: c) Both of the above

36) A purchases upkeep is used instead of a product budget by

a) Manufacturing companies

b) Not for profit entities

c) Service Companies

d) Merchandising Companies

Ans: d) Merchandising Companies

37) which one of the following is not needed in preparing a productionupkeep?

a) Opening stock

b) Sales

c) Closing stock

d) None of the above

Ans: d) None of the higher up

MCQs on BUDGET AND BUDGETARY Command
MULTIPLE Option QUESTIONS AND ANSERS (MCQs)

Make full up the blanks:

ane. A budget is a detailed program of operations for future periods.

2. A factor which influences all other budgets is called cardinal factor.

3. Forecasting leads to budgeting and budgeting leads to monetary control.

four. A budget is an help to management.

5. The starting betoken in developing the primarybudget is the preparation of the sales budget.

6. A budget is a projected programme of action expressed in Concrete units & monetary terms.

7. Budget relating to key factor should exist prepared starting time.

viii. A budget is substantially a quantitative statement of some future catamenia of time.

9. Budgeting refers to the procedure of preparing the budgets.

10. Budgeting tin can exist applied in parts .

eleven. Budgetary control starts with budgeting and ends with control .

12. Budgetary control is a continuous procedure which helps in planning, coordination and control.

xiii. Monetary control is a organization of controlling costs.

14. Budget is a ways and budgetary control is the end result .

fifteen. A budget transmission spells out duties and responsibilities of various executives concerned with budgets.

16. The chief executive who is at the acme of the organization appoints budget officer who scrutinizes and changes various budgets.

17. Budget committee is formed with the heads of all departments which is made responsible for preparation and implementation of budgets.

eighteen. Upkeep menstruation is the length of time for which a upkeep is prepared.

19. Upkeep period may exist different for dissimilar industries.

twenty. Master upkeep incorporate all functional budgets.

21. Naught base budgeting was first used by Jimmy Carter.

22. Nix base budgets starts with aught .

23. The first step in ZBB is the definition of the objectives of budgeting.

24. Zero base of operations budgeting over comes the weakness of conventional budgeting.

25. A cash budget is an estimated projection of the visitor'southward cash position in the future.

26. Cash catamenia method of cash budget is suitable for preparing the long term estimates of cash inflows and outflows.

27. Nomenclature of budget on the basis of capacity – Fixed and Flexible upkeep.

28. Classification of budget on the basis of functions – Master and subsidiary budgets.

29. Classification of budgets on the basis of fourth dimension – Long term budgets, brusque term budgets and current budgets.

thirty. Cash upkeep is a role of financial budget.

31. Functional budgets are subsidiary to master budget.

32. Operation budget is a programme of action for a given period.

33. Operation budgeting is also known as planning, programming and budgeting decisions.

34. Performance budget is based on accomplishment of the past .

35. A forecast is the statement of events probable to occur.

36. Efficiency ratio shows the level of efficiencyattained during the budget period.

37. Calendar ratio = (Number of actual working days in a menstruation/ Budgeted working days for the period) × 100

38. Chapters Ratio = (Actual hours worked product/Budget hours) × 100

39. The period of decision is up in performance budgeting.

forty. The period of determination is downward in traditional budgeting.

41. The arroyo in operation budgeting is prospective .

42. The arroyo in traditional budgeting is retrospective .

43. The procedure of budgeting helps in the control of Cost.

44. Monetary control system is based on the support of Top direction.

45. Budget is prepared for a budget catamenia.

46. Budget catamenia depends upon type of business.

47. A budget is an effective tool for planning and control.

48. Sales budget is a functional budget.

49. Material budget is a part of Production budget.

fifty. The production budget is prepared past the main executives of the production department .

51. Sales budget is prepared by Sales manager .

MCQs on BUDGET AND BUDGETARY CONTROL
MULTIPLE Selection QUESTIONS AND ANSERS (MCQs)

Country whether the following statements are True or False:

1. Budget relating to key factor should be prepared concluding.False

2. Budgeting may be said to exist the art of building a budget.True

3. Efficiency ratio determines the capacity used by the factory.Faux

iv. Agenda ratio calculates the ratio betwixt actual and budgeted days.Truthful

v. Zero base budgeting volition be appropriate in areas where output is non related to production.True

6. Flexible budgets change with the level of activity.True

7. Budgeting may be said to be an human action of determining costing standards.False

viii. A budget center is that office of the organisation for which the budget is prepared.Truthful

ix. A upkeep middle may exist a department, section of a department or any other role of the department.True

ten. A budget manual conspicuously defines the objectives of monetary control system.True

11. In pocket-size scale concerns, the accountant is fabricated responsible for grooming and implementation of budgets. Truthful

12. In large calibration concerns budget committee is formed with the heads of all departments which is made responsible for training and implementation of budgets.Truthful

xiii. Budget period may be aforementioned in same industry or business.Simulated

14. Zero base of operations budget starts with previous year residual.Faux

xv. In Cipher Based budgeting no reference is made to previous level expenditure.True

16. In ZBB, Cost benefit analysis is undertaken for each activity of the conclusion unit.Truthful

17. Aught base budgeting volition be advisable in areas where output is not related to production.True

eighteen. Cash Budget is curt term in nature.True

19. A central gene or main factor does not influence the preparation of all other budgets.True

20. Receipts and Payment method of cash upkeep is the nigh normally used method in forecasting the brusk term greenbacks position.True

21. Primary budget is the summary of all functional budgets.True

22. A sales Upkeep is not prepared on the basis of production budget.True

23. A production budget is prepared on the basis of sales budget.True

24. Rolling upkeep is also known as continuous upkeep.True

25. Sales presented in sales budget is only an estimate non the last figure.True

26. Budgetary control does non facilitate introduction of 'Management by Exception'.False

27. A flexible budget is one, which changes from yr to year.False

28. A flexible budget recognizes the deviation between fixed, semi-fixed and variable price and is designed to change in relation to the alter in level of activeness.True

29. Sales upkeep, usually, is the most important budget amidst all budgets.True

30. Flexible budgets change with the level of activeness.True

31. Responsibility bookkeeping is a very old technique of control.Faux

32. Responsibility accounting is too known equally profitability bookkeeping.True

33. Responsibility accounting is used as a command device.True

34. Responsibility centers are ordinarily classified into iv classes.False

35. Responsibility accounting is not only a control device but information technology is helpful in cost planning and decision making.Truthful

36. In efficiency ratio, standard hours are compared with actual hours. True

37. A budget is a planning tool. True

38. Agenda ratio is used to measure the proportion of actual working days to budgeted working days in a budget period.True

39. Capacity ratio indicates the extent to which budgeted hours of activity is actually utilized.True

40. Budgetary command and standard costing are same.True

41. Budgeted balance canvass is non a fiscal budget.False

42. Statement of retained earnings budget is a financial budget.True

43. Summary budget is a principal upkeep. Truthful

Flexible Budget MCQs

44. Fixed budget is useless for comparison when the level of activity is constant.

45. Flexible budget are more useful in actual exercise because information technology is more reliable and has peachy practical utility in the business concern.

46. A flexible budget is one which permits the changes in accord with the changes in the level of activity. True

47. Flexible budgeting is more suitable for which Industry?

a) Hotel and Restaurants

b) Manufacturing Industries

c) Seasonal Industries

d) All of the above

48. A flexible budget requires conscientious study and nomenclature of expenses into fixed, variable and semi-variable. True

49. flexible upkeep is also known equally variable budget.

fifty. In fixed budget costs are not classified according to variability e.1000. into stock-still, variable and semi-variable.