ACC 203 CBT PRACTICE

1. _________ ratio are used to determine the ability of a firm to meet its current obligations.

2. The following are materials that can be reffered to as stock except _______

3. The following are methods of valuing stock except

4. ________ is the amount of time it takes for the material to be delivered from the supplier after an order has been placed.

5. _________ is the cost of formulating the policy, directing the organization and controlling the operations of an undertaking which is not related directly to a production, selling, distribution, research or development activity or function

6. ______ is the cost of searching for new or improved products, new application of materials, or new or improved methods.

7. ________ measures the extent to which fixed interest liabilities relate to the equity

8. _______ benefit from business training opportunity.

9. ________ is the midway between the minimum stock level and the maximum stock level.

10. ________ ratio indicates the financial plan of the entity and shows if the entity is financed more by debt or by equity

11. _____ use resources to be able to perform their functions

12. The point at which neither profit nor loss is made is known as the ________

13. The costs that can be easily identified with a department, process or product are termed as

14. Accounting ratio serves as a means of________ financial information.

15. The following are classifications of overhead except _______

16. The three elements of cost are material, labour and

17. _______ variable costs are those variable costs which are directly related to the production or sales level

18. _______ cost are costs which are a part of the cost of a product rather than an expense of the period in which they are incurred

19. __________ is a measure of the relationship between the current assets and current liabilities.

20. __________ indicates the number of times fixed dividend is covered by profit.

21. ___________ are expenses can be directly and wholly allocated to a particular product, job or service

22. The following are examples of fixed cost except

23. _______ is the part of development cost incurred in making a trial production as preliminary to formal production is called pre-production cost.

24. _______ = Maximum usage X maximum delivery period

25. _______ are costs of seeking new ideas, materials, methods of production and improved products and the development and design of such ideas so that they can be applied to formal production.

26. _________ are cost of formulating policy, directing and controlling operations not related directly to production, selling, distribution or research and development.

27. ______ is mostly found in retailing business.

28. The following are examples of variable cost except

29. _______ indicates what percentage of sales is generated as operating profit

30. ________ is cost of process which begins with the implementation of the decision to produce a new or improved product or employ a new or improved method and ends with the commencement of formal production of that product or by the method.

31. ________ fixed costs are those which are set at fixed amount for specific time periods by the management in budgeting process

32. _________ is the cost of sequence of operations which begins with supplying materials, labor and services and ends with the primary packing of the product.

33. ________ is the level of inventory where it becomes necessary to place order for new supply

34. _________ variable costs are those variable costs which are directly related to the production or sales level

35. Discretionary fixed cost is also known as managed or _________ cost

36. ________ measures the efficiency of the firm in utilization of capital employed to generate income.

37. ___________ are used to ascertain the long-term financial performance of a company

38. ________ indicates the amount of the net profit after tax attributable to each ordinary share issued

39. ___ partner contributes only the money needed for formation of the business or for running of the business.

40. ________ is the cost of selling to create and stimulate demand (sometimes termed as marketing) and of securing orders.