Managerial Accounting Quiz On Short-term Decision Making and Pricing Decision:

Below are some managerial accounting questions on short term decision making and pricing decisions. Answer the questions to test your knowledge or act as a refresher course. If you are not sure of the answer click to the see { article } for things that you have earlier missed.


1.0  In decision making, what are the criteria that makes a cost to be relevant? —>> see { article }

2.0  Explain with example the following:

(a)    sunk cost—->> see { article }

(b)   opportunity costs —->>> see { article }

(c)    avoidable costs —–>>> see { article }

(d)   incremental costs —–>>> see { article }

3.0  Distinguish a special order from regular order —–>>> see { article }

4.0  Define the term limiting factor and give 3 examples—->>> see { article }

5.0  Give two reasons for company to buy from outsiders and give two reasons for company to do its own manufacturing —–>>> see { article }

6.0 Give 4 areas where relevant costs concept are apply. ——>>> see { article }

Leave a Comment

This site uses Akismet to reduce spam. Learn how your comment data is processed.