MCQ on Cost Accounting Records & Cost Audit under the Companies Act 2013 | Corporate and Management Accounting MCQs for CS Executive and Other Competitive Exams | Commerce Classes

MCQ on Cost Accounting Records & Cost Audit under the Companies Act 2013: Check the below Corporate and Management Accounting MCQ on Cost Accounting Records & Cost Audit under the Companies Act 2013 with Answers Pdf free download. Corporate and Management Accounting MCQ on Cost Accounting Records & Cost Audit under the Companies Act 2013 Questions for Corporate and Management Accounting with Answers were prepared based on the latest exam pattern. We have provided Corporate and Management Accounting MCQ on Cost Accounting Records & Cost Audit under the Companies Act 2013 with Answers to help students understand the concept very well. Students should practice CS Executive MCQ on Cost Accounting Records & Cost Audit under the Companies Act 2013 Questions with Answers based on the latest syllabus.

MCQ on Cost Accounting Records


1. Cost Accounting Standard is related to bringing uniformity and consistency in the principles and methods of determining the selling and distribution overheads with reasonable accuracy.
(A) 10
(B) 12
(C) 15
(D) 4

View Answer

(C) 15


2. Which one is not the objective of Cost Accounting Standards ?
(A) To bring uniformity and consistency in the principles and methods
(B) To help industry and the Government towards better cost management
(C) To control accounting policies of companies so as to protect investors’ interest
(D) To determine the pollution control costs with reasonable accuracy

View Answer

(C) To control accounting policies of companies so as to protect investors’ interest


3. Section of the Companies Act, 2013 gives the cost auditor the same power as the financial auditor has under the section of the Companies Act, 2013.
(A) 148, 143
(B) 143, 148
(C) 147, 148
(D) 143, 144

View Answer

(A) 148, 143


4. The objective of CAS-1 is
(A) Collection, allocation, apportionment, and absorption of over-heads
(B) Determination of capacity
(C) Preparation of cost statement
(D) Determination of average / equal¬ized transportation cost

View Answer

(C) Preparation of cost statement


5.

View Answer


6. Which section of the Companies Act, 2013 deals with an audit of cost accounting records –
(A) Section 158
(B) Section 148
(C) Section 168
(D) Section 139

View Answer

(B) Section 148


7. Which one of the following is not a statistical technique of cost audit —
(A) Monte-Carlo simulation
(B) Inter-firm comparison
(C) Network analysis
(D) Exponential smoothing

View Answer

(C) Network analysis


8. Which of the following is an objective to be achieved through Cost Accounting Standards –
(A) To assist cost accountants in the preparation of uniform cost statements
(B) To provide better guidelines on standard cost accounting practices
(C) To help Indian industry and the Government towards better cost management
(D) All of the above

View Answer

(D) All of the above


9. The chief objective of cost accounting is to:
(A) Earn more profit
(B) Increase production
(C) Provide information for management for planning and control
(D) Fix the price

View Answer

(C) Provide information for management for planning and control


10. The functions of a cost auditor involve ______.
(A) Examining the inventory records
(B) Capacity utilization
(C) Proper utilization of labor
(D) All of the above

View Answer

(D) All of the above


11. The branch of accounting which primarily deals with processing and accounting data for internal use in concern is:
(A) Financial accounting
(B) Cost accounting
(C) Management accounting
(D) None of the above

View Answer

(A) Financial accounting


12. A good costing system gives equal emphasis on cost ascertainment and cost
(A) Reduction
(B) Control
(C) Maximization
(D) None of the above

View Answer

(B) Control


13. Management Accounting and Cost Accounting are to each other.
(A) Complementary
(B) Supplementary
(C) Opposite
(D) Independent

View Answer

(B) Supplementary


14. The social purpose of cost audit is:
(A) Detection of errors and frauds
(B) Facilitating the fixation of prices of goods and services
(C) Promoting corporate governance
(D) Inculcation of cost-consciousness

View Answer

(B) Facilitating the fixation of prices of goods and services


15. Cost accounting differs from financial accounting in respect of:
(A) Recording Cost
(B) Ascertaining Cost
(C) Control of Cost
(D) Reporting of Cost

View Answer

(D) Reporting of Cost


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By Team Learning Mantras

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