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 →
Under IAS 7, which cash flow section includes cash received from issuing corporate common shares?
AInvesting Activities
BFinancing Activities
COperating Activities
DCapital Reserve Activities
What term describes the cost of capital obtained by issuing an additional dollar of new capital funds?
AMarginal Cost of Capital (MCC)
BWeighted Average Cost of Capital (WACC)
CCost of Retained Earnings
DHistorical Cost of Capital
What is the cost method that allocates joint product costs based on relative market values of output at the split-off point?
ASales Value at Split-Off Method
BConstant Gross Margin Percentage Method
CNet Realizable Value Method
DPhysical Unit Method
Under IAS 16 (Property, Plant, and Equipment), how should unexpected subsequent asset revaluation increases be accounted for?
ACredited to Other Comprehensive Income and accumulated in Revaluation Surplus
BDeducted directly from retained earnings reserve
CRecognized immediately as operating profit in Income Statement
DIgnored until asset physical disposal
Which financial market theory proposes that security prices move unpredictably as random walks, making technical pattern forecasting impossible?
ADow Theory
BGordon Model
CElliot Wave Theory
DRandom Walk Theory
What ratio measures how many days on average a company takes to collect cash from credit sales customers?
ADays Sales Outstanding (DSO)
BCash Conversion Period
CDays Inventory Outstanding (DIO)
DDays Payable Outstanding (DPO)
What ratio measures a company’s ability to cover total debt obligations using annual EBITDA?
ADebt-to-EBITDA Ratio
BQuick Ratio
CCurrent Ratio
DReturn on Sales
Which cost accounting system accumulates manufacturing costs separately for each unique, custom product order?
AOperation Costing
BBatch Costing
CProcess Costing
DJob Order Costing
Under accrual accounting, how is an advance cash payment received from a customer for services to be delivered next year classified on the balance sheet?
APrepaid Expense (Asset)
BUnearned Revenue (Current Liability)
CRevenue (Income Statement)
DRetained Earnings (Equity)
What is the primary advantage of issuing Preferred Stock over Common Stock for corporate managers?
APreferred stock imposes mandatory maturity repayment obligations
BAvoids diluting common equity voting control while providing fixed dividends
CPreferred shareholders hold primary voting rights
DPreferred dividend payments are tax-deductible expenses