Business Administration
Test Questions
Course Introduction
Business Administration is a comprehensive course designed to introduce students to the fundamental concepts, theories, and practices involved in managing various business operations. Covering key areas such as management principles, organizational behavior, marketing, finance, human resources, operations, and strategic planning, the course emphasizes the development of analytical, leadership, and decision-making skills essential for effective business administration. Through real-world case studies and practical assignments, students gain insights into contemporary challenges faced by organizations and learn how to apply business strategies in diverse professional settings.
Recommended Textbook
Managerial Accounting 12th Edition by Carl S. Warren
Available Study Resources on Quizplus
14 Chapters
2382 Verified Questions
2382 Flashcards
Source URL: https://quizplus.com/study-set/3828
Page 2
Chapter 2: Job Order Costing
Available Study Resources on Quizplus for this Chatper
176 Verified Questions
176 Flashcards
Source URL: https://quizplus.com/quiz/76366
Sample Questions
Q1) The materials requisition serves as the source document for debiting the accounts in the materials ledger.
A)True
B)False
Answer: False
Q2) Information about costs developed through a job order cost system can not be used to evaluate an organization's cost performance.
A)True
B)False Answer: False
Q3) The document that serves as the basis for recording direct labor on a job cost sheet is the time card.
A)True
B)False Answer: False
Q4) A job order cost system would be appropriate for a crude oil refining business. A)True
B)False Answer: False
To view all questions and flashcards with answers, click on the resource link above. Page 3
Chapter 3: Process Cost Systems
Available Study Resources on Quizplus for this Chatper
178 Verified Questions
178 Flashcards
Source URL: https://quizplus.com/quiz/76367
Sample Questions
Q1) Which of the following is not included in conversion costs?
A) Direct labor.
B) Factory overhead.
C) Indirect labor.
D) Direct materials.
Answer: D
Q2) The last step in the accounting procedure for process costing is the calculation of equivalent units of production.
A)True
B)False
Answer: False
Q3) Which of the following entities would probably use a process costing system?
A) A custom boat builder
B) A custom furniture manufacturer
C) A one of a kind jewelry creator
D) An oil refinery.
Answer: D
To view all questions and flashcards with answers, click on the resource link above.
Page 4
Chapter 4: Cost Behavior and Cost-Volume-Profit Analysis
Available Study Resources on Quizplus for this Chatper
215 Verified Questions
215 Flashcards
Source URL: https://quizplus.com/quiz/76368
Sample Questions
Q1) If fixed costs are $500,000 and the unit contribution margin is $20, what is the break-even point in units if fixed costs are reduced by $80,000?
A) 25,000
B) 29,000
C) 4,000
D) 21,000
Q2) Which of the following activity bases would be the most appropriate for gasoline costs of a delivery service, such as United Postal Service?
A) Number of trucks employed
B) Number of miles driven
C) Number of trucks in service
D) Number of packages delivered
Q3) Variable costs as a percentage of sales for Lemon Inc. are 80%, current sales are $600,000, and fixed costs are $130,000. How much will operating income change if sales increase by $40,000?
A) $8,000 increase
B) $8,000 decrease
C) $30,000 decrease
D) $30,000 increase
To view all questions and flashcards with answers, click on the resource link above.
Page 5
Chapter 5: Variable Costing for Management Analysis
Available Study Resources on Quizplus for this Chatper
154 Verified Questions
154 Flashcards
Source URL: https://quizplus.com/quiz/76369
Sample Questions
Q1) Which of the following would not be an appropriate activity base for cost analysis in a service firm?
A) lawns mowed
B) inventory produced
C) customers served
D) haircuts given
Q2) In contribution margin analysis, the effect of a difference in the number of units sold, assuming no change in unit sales price or cost, is termed the unit price or unit cost factor.
A)True
B)False
Q3) In variable costing, the cost of products manufactured is composed of only those manufacturing costs that increase or decrease as the volume of production rises or falls.
A)True
B)False
Q4) Variable costing is also known as direct costing.
A)True
B)False
To view all questions and flashcards with answers, click on the resource link above.
Page 6
Chapter 6: Budgeting
Available Study Resources on Quizplus for this Chatper
185 Verified Questions
185 Flashcards
Source URL: https://quizplus.com/quiz/76370
Sample Questions
Q1) The Cardinal Company had a finished goods inventory of 55,000 units on January 1. Its projected sales for the next four months were: January - 200,000 units; February180,000 units; March - 210,000 units; and April - 230,000 units. The Cardinal Company wishes to maintain a desired ending finished goods inventory of 20% of the following months sales. What would be the budgeted inventory for March 31st?
A) 46,000
B) 36,000
C) Cannot be determined from the data given
D) 42,000
Q2) As of January 1 of the current year, the Grackle Company had accounts receivables of $50,000. The sales for January, February, and March of 2012 were as follows: $120,000, $140,000 and $150,000. 20% of each month's sales are for cash. Of the remaining 80% (the credit sales), 60% are collected in the month of sale, with remaining 40% collected in the following month. What is the accounts receivable balance as of March 31?
A) $72,000
B) $48,000
C) $58,720
D) $$60,000
To view all questions and flashcards with answers, click on the resource link above.
Page 7
Chapter 7: Performance Evaluation Using Variances From
Standard Costs
Available Study Resources on Quizplus for this Chatper
158 Verified Questions
158 Flashcards
Source URL: https://quizplus.com/quiz/76371
Sample Questions
Q1) Variances from standard costs are usually reported to:
A) suppliers
B) stockholders
C) management
D) creditors
Q2) Standard costs are a useful management tool that can be used solely as a statistical device apart from the ledger or they can be incorporated in the accounts.
A)True
B)False
Q3) The St. Augustine Corporation originally budgeted for $360,000 of fixed overhead at 100% production capacity. Production was budgeted to be 12,000 units. The standard hours for production were 5 hours per unit. The variable overhead rate was $3 per hour. Actual fixed overhead was $360,000 and actual variable overhead was $170,000. Actual production was 11,700 units. Compute the factory overhead volume variance.
A) $9,000F
B) $9,000U
C) $5,500F
D) $5,500U
To view all questions and flashcards with answers, click on the resource link above. Page 8
Chapter 8: Performance Evaluation for Decentralized Operations
Available Study Resources on Quizplus for this Chatper
200 Verified Questions
200 Flashcards
Source URL: https://quizplus.com/quiz/76372
Sample Questions
Q1) In a cost center, the manager has responsibility and authority for making decisions that affect:
A) revenues
B) assets
C) both costs and revenues
D) costs
Q2) A centralized business organization is one in which all major planning and operating decisions are made by top management.
A)True
B)False
Q3) The underlying principle of allocating operating expenses to departments is to assign to each department an amount of expense proportional to the revenues of that department.
A)True
B)False
Q4) Operating expenses incurred for the entire business as a unit that are not subject to the control of individual department managers are called indirect expenses.
A)True
B)False
To view all questions and flashcards with answers, click on the resource link above. Page 9
Chapter 9: Differential Analysis and Product Pricing
Available Study Resources on Quizplus for this Chatper
160 Verified Questions
160 Flashcards
Source URL: https://quizplus.com/quiz/76373
Sample Questions
Q1) Falcon Co. produces a single product. Its normal selling price is $30.00 per unit. The variable costs are $19.00 per unit. Fixed costs are $25,000 for a normal production run of 5,000 units per month. Falcon received a request for a special order that would not interfere with normal sales. The order was for 1,500 units and a special price of $20.00 per unit. Falcon Co. has the capacity to handle the special order and, for this order, a variable selling cost of $1.00 per unit would be eliminated. Should the special order be accepted?
A) Cannot determine from the data given
B) Yes
C) No
D) There would be no difference in accepting or rejecting the special order
Q2) The target cost approach assumes that:
A) markup is added to total cost
B) the selling price is set by the marketplace
C) markup is added to variable cost
D) markup is added to product cost
Q3) A bottleneck begins when demand for the company's product exceeds the ability to produce the product.
A)True
B)False
To view all questions and flashcards with answers, click on the resource link above. Page 10
Chapter 10: Capital Investment Analysis
Available Study Resources on Quizplus for this Chatper
178 Verified Questions
178 Flashcards
Source URL: https://quizplus.com/quiz/76374
Sample Questions
Q1) The amount of the average investment for a proposed investment of $90,000 in a fixed asset, with a useful life of four years, straight-line depreciation, no residual value, and an expected total net income of $21,600 for the 4 years, is:
A) $10,800
B) $21,600
C) $ 5,400
D) $45,000
Q2) The expected average rate of return for a proposed investment of $8,000,000 in a fixed asset, using straight line depreciation, with a useful life of 20 years, no residual value, and an expected total net income of $12,000,000 is:
A) 15%
B) 12%
C) 40%
D) 7.5%
Q3) A qualitative characteristic that may impact upon capital investment analysis is manufacturing flexibility.
A)True
B)False
To view all questions and flashcards with answers, click on the resource link above.
11
Chapter 11: Cost Allocation and Activity-Based Costing
Available Study Resources on Quizplus for this Chatper
110 Verified Questions
110 Flashcards
Source URL: https://quizplus.com/quiz/76375
Sample Questions
Q1) Estimated activity-base usage quantities are the total activity-base quantities related to each product.
A)True
B)False
Q2) The Cunningham Factory has determined that its budgeted factory overhead budget for the year is $6,750,000 and budgeted direct labor hours are 5,000,000. If the actual direct labors for the period are 175,000 how much overhead would be allocated to the period?
A) $675,000
B) $129,630
C) $236,250
D) $175,000
Q3) Zorn Co. budgeted $600,000 of factory overhead cost for the coming year. Its plantwide allocation base, machine hours, is budgeted at 100,000 hours. Budgeted units to be produced are 200,000 units. Zorn's plantwide factory overhead rate is $6.00 per unit.
A)True
B)False
To view all questions and flashcards with answers, click on the resource link above.
12
Chapter 12: Cost Management for Just-In-Time
Environments
Available Study Resources on Quizplus for this Chatper
122 Verified Questions
122 Flashcards
Source URL: https://quizplus.com/quiz/76376
Sample Questions
Q1) A make-to-order company matches its production schedules to actual customer orders.
A)True
B)False
Q2) Just-in-time manufacturing philosophy reduces all of the following except A) inventory
B) setup time
C) lead time
D) overhead costs
Q3) A non-financial measure is operating information that has not been translated into dollars.
A)True
B)False
Q4) Costs of controlling quality include prevention costs and internal failure costs.
A)True
B)False
Q5) Push manufacturing (made-to-stock) is a traditional approach to manufacturing.
A)True
B)False
To view all questions and flashcards with answers, click on the resource link above. Page 13
Chapter 13: Statement of Cash Flows
Available Study Resources on Quizplus for this Chatper
161 Verified Questions
161 Flashcards
Source URL: https://quizplus.com/quiz/76377
Sample Questions
Q1) Cost of merchandise sold reported on the income statement was $155,000. The accounts payable balance increased $5,000, and the inventory balance increased by $11,000 over the year. Determine the amount of cash paid for merchandise.
Q2) If cash dividends of $135,000 were paid during the year and the company sold 1,000 shares of common stock at $30 per share, the statement of cash flows would report net cash flow from financing activities as $165,000.
A)True
B)False
Q3) In preparing the cash flows from operating activities section of the statement of cash flows by the indirect method, the amortization of bond discount for the period is deducted from the net income for the period.
A)True
B)False
Q4) Which of the following is a noncash investing and financing activity?
A) payment of a cash dividend
B) payment of a six-month note payable
C) purchase of merchandise inventory on account
D) issuance of common stock to acquire land
To view all questions and flashcards with answers, click on the resource link above.
Page 14
Chapter 14: Financial Statement Analysis
Available Study Resources on Quizplus for this Chatper
192 Verified Questions
192 Flashcards
Source URL: https://quizplus.com/quiz/76378
Sample Questions
Q1) A balance sheet that displays only component percentages is called
A) trend balance sheet
B) comparative balance sheet
C) condensed balance sheet
D) common-sized balance sheet
Q2) The numerator used to calculate accounts receivable turnover is
A) total sales
B) net sales
C) accounts receivable at year-end
D) average accounts receivable
Q3) The purpose of an audit is to
A) determine whether or not a company is a good investment.
B) render an opinion on the fairness of the statements.
C) determine whether or not a company complies with corporate social responsibility.
D) determine whether or not a company is a good credit risk.
Q4) If a firm has a current ratio of 2, the subsequent receipt of a 60-day note receivable on account will cause the ratio to decrease.
A)True
B)False
To view all questions and flashcards with answers, click on the resource link above. Page 15
Chapter 15: Managerial Accounting Concepts and Principles
Available Study Resources on Quizplus for this Chatper
174 Verified Questions
174 Flashcards
Source URL: https://quizplus.com/quiz/76365
Sample Questions
Q1) Compute conversion costs given the following data: Direct Materials, $347,500; Direct Labor, $186,300; Factory Overhead, $187,900; and Selling Expenses, $45,290.
A) $533,800
B) $187,900
C) $721,700
D) $374,200
Q2) On the balance sheet for a manufacturing business, the cost of direct materials, direct labor, and factory overhead are categorized as either materials inventory, work in process inventory, or finished goods inventory.
A)True
B)False
Q3) If the cost of direct materials is a small portion of total production cost, it may be classified as part of:
A) direct labor cost
B) selling and administrative costs
C) miscellaneous costs
D) factory overhead cost
To view all questions and flashcards with answers, click on the resource link above.
Page 16