The first step in estimation of cost function by using quantitative analysis is to _________?
A. choose price estimation method B. choose dependent variable C. choose independent variable D. choose revenue estimation method
Accounting MCQs with Answers
The relationship between cost and cost driver is economically plausible if the goodness of fit _________?
A. has meaning B. has no meaning C. has index values D. has no index values
The method, which considers the cost and cost drivers of departments such as employee relations and process engineering is termed as __________?
A. pricing method B. manufacturing method C. conference method D. inference method
In the linear cost function, which is y = a + bx, the ‘y’ is classified as ___________?
A. predicted fixed cost B. predicted variable cost C. predicted cost D. predicted price
The function used to measure decline in labor hours per unit as the units of production increases is called ___________?
A. fixed curve B. learning curve C. linear curve D. mixed curve
If the difference in costs is $32000 and the slope coefficient is 0.40, then difference in machine hours would be ___________?
A. $80,000 B. $12,800 C. $70,000 D. $22,800
The cost that has elements of variable and fixed costs at the same time is __________?
A. variable cost B. mixed cost C. semi variable cost D. Both B and C
The formula of 1 – unexplained variation ⁄ total variation is used to calculate _____________?
A. coefficient of determination B. coefficient of index C. coefficient of residual D. coefficient of prediction
In estimation of cost function, an example of independent variable is ___________?
A. level of activity B. quantity stored C. quantity manufactured D. quality of product