Flexible Budget and Management Control MCQs

Welcome to our comprehensive collection of Multiple Choice Questions (MCQs) on Flexible Budget and Management Control, 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 Flexible Budget and Management Control 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 Flexible Budget and Management Control mcq questions that explore various aspects of Flexible Budget and Management Control problems. Each MCQ is crafted to challenge your understanding of Flexible Budget and Management Control 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 Flexible Budget and Management Control 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 Flexible Budget and Management Control. 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 Flexible Budget and Management Control knowledge to the test? Let's get started with our carefully curated MCQs!

Flexible Budget and Management Control MCQs | Page 9 of 20

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Q81.
If the flexible budget amount is $27000 and flexible budget variance is $12000, then actual result amount would be

a.

$27,000

b.

$15,000

c.

$39,000

d.

$49,000

Discuss
Answer: (c).$39,000
Q82.
The number of units are 5000 and the per unit price is $60, then the flexible budget variable would be

a.

$5,000,000

b.

$3,000,000

c.

$2,000,000

d.

$1,000,000

Discuss
Answer: (b).$3,000,000
Q83.
If the flexible budget amount is $82000 and the actual result is $45000 then the flexible budget amount will be

a.

$97,000

b.

$87,000

c.

$27,000

d.

$37,000

Discuss
Answer: (d).$37,000
Q84.
The difference between the flexible budget amount and the corresponding static budget amount is classified as

a.

sales revenue variance

b.

cost profit variance

c.

profit volume variance

d.

sales volume variance

Discuss
Answer: (d).sales volume variance
Q85.
If an actual selling price is $400, an actual result is $250 and an actual units sold are 500, then the selling price variance will be

a.

$45,000

b.

$55,000

c.

$75,000

d.

$65,000

Discuss
Answer: (c).$75,000
Q86.
If the sales budget variance for operating income is $58000 and the static budget amount is $15000, then flexible budget amount will be

a.

$43,000

b.

$73,000

c.

$63,000

d.

$53,000

Discuss
Answer: (b).$73,000
Q87.
If the number of units are 3000 and the per unit price is $500, then the flexible budget variable will be

a.

$1,500,000

b.

$2,500,000

c.

$3,500,000

d.

$4,500,000

Discuss
Answer: (a).$1,500,000
Q88.
If the static budget amount is $6000 and the flexible budget amount is $15000, then the sales volume variance will be

a.

$9,000

b.

$8,000

c.

$12,000

d.

$21,000

Discuss
Answer: (a).$9,000
Q89.
The production volume variance is also called

a.

denominator level variance

b.

numerator level variance

c.

price level variance

d.

cost level variance

Discuss
Answer: (a).denominator level variance
Q90.
In the budgeted fixed overhead rate, the number of machine hours are considered as

a.

denominator level

b.

numerator level

c.

fixed level

d.

variable level

Discuss
Answer: (a).denominator level
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