Cost Function and Behavior MCQs

Welcome to our comprehensive collection of Multiple Choice Questions (MCQs) on Cost Function and Behavior, a fundamental topic in the field of Cost Accounting. Whether you're preparing for competitive exams, honing your problem-solving skills, or simply looking to enhance your abilities in this field, our Cost Function and Behavior MCQs are designed to help you grasp the core concepts and excel in solving problems.

In this section, you'll find a wide range of Cost Function and Behavior mcq questions that explore various aspects of Cost Function and Behavior problems. Each MCQ is crafted to challenge your understanding of Cost Function and Behavior principles, enabling you to refine your problem-solving techniques. Whether you're a student aiming to ace Cost Accounting tests, a job seeker preparing for interviews, or someone simply interested in sharpening their skills, our Cost Function and Behavior MCQs are your pathway to success in mastering this essential Cost Accounting topic.

Note: Each of the following question comes with multiple answer choices. Select the most appropriate option and test your understanding of Cost Function and Behavior. You can click on an option to test your knowledge before viewing the solution for a MCQ. Happy learning!

So, are you ready to put your Cost Function and Behavior knowledge to the test? Let's get started with our carefully curated MCQs!

Cost Function and Behavior MCQs | Page 13 of 14

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Q121.
In the linear cost function, which is y = a + bx, the 'y' is classified as
Discuss
Answer: (c).predicted cost
Q122.
In the specification analysis, the assumptions related to linearity states but linearity must be within
Discuss
Answer: (b).relevant range
Q123.
In regression analysis, if the predicted cost value is 65 and observed cost value is 19 then the disturbance term will be
Discuss
Answer: (a).46
Q124.
In adjustment issues of costing, the database must consider wide range values of
Discuss
Answer: (b).cost driver
Q125.
The method, which considers the cost and cost drivers of departments such as employee relations and process engineering is termed as
Discuss
Answer: (c).conference method
Discuss
Answer: (b).step cost functions
Q127.
If the residual error is 35 and the predicted cost value is 20, then the observed cost value will be
Discuss
Answer: (a).55
Q128.
In Regression Analysis, if an observed cost value is 85 and the disturbance error is 25 then predicted cost value will be
Discuss
Answer: (b).50
Q129.
The relationship between cost and cost driver is economically plausible if the goodness of fit
Discuss
Answer: (a).has meaning
Q130.
The situation in which two or more independent variables are highly correlated is known as
Discuss
Answer: (d).multi-collinearity