MGT402 Final Term Past Papers Mega File

MGT402

While deducting Income Tax from the gross pay of the employee, the employer acts as a (an) _________________for Income Tax Department.

1. Agent of his own company
2. Paid tax collection agent
3. Unpaid tax collection agent
4. None of the given options

Which of the following is very uncommon method of employee wage payments now a day?

1. Payment by cash
2. Payment by cheque
3. Payment by bank transfer
4. Payment through the Banks Automated Clearing System (BACS)

[{Time Allowed – Actual Time taken x 100} x Basic Pay + Bonus Pay] Time Allowed

Above mentioned formula is derivation of:

1. Rowan Plan
2. Halsey Premium Plan
3. Halsey Weir Plan
4. Merrick's differential system

The main difference between the profit center and investment center is:

1. Cost incurrence
2. Investment

MGT402

1. Decision making
2. Revenue generation

The net profit or loss for a particular period of time is reported on which of the following?

1. Income statement
2. Balance sheet
3. Statement of cash flows
4. Statement of changes in owner's equity

Material requisition is a document that supports the requirement of the material. This document is sent to store in charge and approved by:

1. Store manager
2. Production manager
3. Supplier manager
4. Purchase manager

Which of the following best describe piece rate system?

1. The increased volume of production results in decreased cost of production
2. The increased volume of production in minimum time
3. Establishment of fair standard rates
4. Higher output is a result of efficient management

The variable costs of producing one wooden rocking horse are Rs. 24. The rocking horse is sold for Rs. 45. What is the contribution margin ratio?

1. 38.9%

MGT402

1. 46.7%
2. 53.3% = 24/45 X 100
3. 87.5%

The break-even point is the point where:

1. Total sales revenue equals total expenses (variable and fixed)
2. Total contribution margin equals total fixed expenses
3. Fixed cost plus Profit is equal to contribution margin
4. All of the given options

Which of the following factor/s would cause the break-even point to change?

1. Increased sales volume
2. Fixed costs increased due to addition of physical plant
3. Total variable costs increased as a function of higher production
4. All of the given options

Keller Co. sells a single product for Rs. 28 per unit. If variable costs are 65% of sales and fixed costs total Rs. 9,800, the break-even point will be:

1. 15,077 units
2. 18,200 units
3. 539 units
4. 1,000 units

All of the following are the objectives of budgeting EXCEPT:

1. Maximization of sales
2. Profit maximization