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 is the term for a continuous, systematic auditing approach that examines operational processes and financial data in real time?
AForensic Audit
BContinuous Auditing
CInternal Audit
DStatutory Audit
What financial metric measures the cash amount generated by core operational activities before accounting for financing or long-term investments?
AEBITDA
BNet Income
CFree Cash Flow to Equity (FCFE)
DOperating Cash Flow (OCF)
What capital structure theory suggests that firms prioritize funding sources according to cost, starting with internal financing first?
AAgency Theory
BTrade-Off Theory
CMM Hypothesis with Taxes
DPecking Order Theory
Which working capital policy maintains a high proportion of current assets relative to total sales, providing safety but lowering return?
AModerate Working Capital Policy
BRestricted (Aggressive) Working Capital Policy
CMatching Policy
DRelaxed (Conservative) Working Capital Policy
What is the cost method where indirect manufacturing overhead costs are allocated to products based on activities performed?
AActivity-Based Costing (ABC)
BProcess Costing
CJob Order Costing
DStandard Costing
Which model is used to estimate the required rate of return for an asset based on its systematic risk relative to the market?
ADividend Discount Model (DDM)
BArbitrage Pricing Theory (APT)
CCapital Asset Pricing Model (CAPM)
DGordon Growth Model
What is the point in production where joint products become separately identifiable and individual costs can be assigned?
AShutdown Point
BReorder Point
CBreak-Even Point
DSplit-Off Point
Which leverage metric measures the percentage change in Earnings Per Share (EPS) resulting from a percentage change in Earnings Before Interest and Taxes (EBIT)?
ADegree of Operating Leverage (DOL)
BDegree of Financial Leverage (DFL)
CDegree of Total Leverage (DTL)
DCombined Leverage
Which inventory valuation method assumes that the oldest units acquired are sold first, leaving the newest units in ending inventory?
AFirst-In, First-Out (FIFO)
BWeighted Average Cost Method
CLast-In, First-Out (LIFO)
DSpecific Identification Method
Which accounting principle states that revenue should be recognized in the accounting period in which the performance obligation is satisfied?
AHistorical Cost Principle
BRevenue Recognition Principle
CMatching Principle
DFull Disclosure Principle