Management Sciences
Management Sciences MCQs With Answers
0 Management Sciences MCQs for CSS, PPSC, FPSC, NTS and entry-test preparation. Take a scored quiz instead →
What operational dividend model proposes that dividend payouts should equal remaining cash earnings only after all positive Net Present Value projects are fully funded?
AResidual Dividend Policy
BConstant Payout Ratio Policy
CStable Dollar Dividend Policy
DGordon Dividend Model
Which cost component represents the value of the next best alternative forgone when a specific investment or business decision is chosen?
ASunk Cost
BOpportunity Cost
CExplicit Cost
DDifferential Cost
What financial statement presents revenues, expenses, and net profit or loss generated by a business entity over a specified accounting period?
ABalance Sheet
BIncome Statement
CStatement of Retained Earnings
DTrial Balance
What risk management strategy involves taking an opposing position in a derivative or related asset to offset potential losses in an underlying asset?
AArbitrage
BHedging
CSpeculation
DSecuritization
What term describes a temporary account used to temporarily hold unbalanced debit and credit amounts until errors are located and reconciled?
ANominal Account
BSuspense Account
CControl Account
DCapital Account
Which accounting convention advises that when in doubt, accountants should choose methods that understate assets and revenues rather than overstate them?
AConservatism (Prudence) Principle
BMateriality Principle
CConsistency Principle
DFull Disclosure Principle
In management accounting, what term identifies the volume of activity beyond the break-even point where business operates with safety?
AContribution Margin
BMargin of Safety
COperating Margin
DDegree of Operating Leverage
What formula measures how many times inventory is sold and replaced across an accounting period?
AInventory Turnover Ratio
BDays Sales of Inventory (DSI)
CAsset Turnover Ratio
DQuick Turnover Ratio
What capital structure model demonstrates that in perfect capital markets without taxes or transaction costs, firm value is independent of capital structure?
AGordon Growth Model
BModigliani-Miller Theorem (Proposition I)
CPecking Order Theory
DTrade-off Theory
In double-entry bookkeeping, an increase in an expense account is recorded with a:
ACredit Entry
BDebit Entry
CDebit or Credit depending on account size
DNo entry required