Accounting - Practice Test

(A) 18%

(B) 12%

(C) 36%

(D) 30%

(C) 36%

(A) Margin of Safety $$ = frac{{{ ext{Profit}}}}{{{ ext{P/V ratio}}}}$$

(B) P/V Ratio $$ = frac{{{ ext{Change in Contribution}}}}{{{ ext{Change in sales}}}} imes 100$$

(C) Break-even point in units $$ = frac{{{ ext{Fixed cost}}}}{{{ ext{Contribution per unit}}}}$$

(D) Required sales to earn desired profits $$ = frac{{{ ext{Desired profit}}}}{{{ ext{P/V ratio}}}}$$

(D) Required sales to earn desired profits $$ = frac{{{ ext{Desired profit}}}}{{{ ext{P/V ratio}}}}$$

(A) Ouput can be effectively measured

(B) Use of asset can be measured in terms of time

(C) Utility of the asset can be directly related to its productive use

(D) Entire production process is mechanised

(B) Use of asset can be measured in terms of time

(A) Less dangerous

(B) More dangerous

(C) Not dangerous

(D) None of the above

(B) More dangerous

(A) General Price Level Method

(B) Specific Price Level Method

(C) Current Cost Accounting Method

(D) Generally Accepted Accounting Principles

(C) Current Cost Accounting Method

Accounting - Study Mode