Test Questions – Relevant Cost for Decision Making

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Students dealing with financial accounting need to be well-versed with an important segment of their syllabus- Relevant Cost for Decision Making. This will help them in performing well in their times of assessment. It is only when you practice various test questions can you have a better understanding of the topic.

Some test questions you need to have utmost command are given as follows for your better understanding.

  1. What do you mean by the concept of Decision making?
  2. Why is the Decision Making Process important for any business organization?
  3. What are the steps involved in the process of decision making?
  4. What are the various cost concepts in Decision Making?
  5. What is the meant by the concept of Relevant Costs for Decision Making?
  6. What are Relevant Costs?
  7. Elucidate the various types of relevant costs.
  8. What makes the role of the Management Accountant in planning about the alternative counsel action crucial? Justify your answer with a reference.
  9. What do you mean by Differential Costs?
  10. How does this differential cost affect various areas of decision making process of a company?
  11. What are the various applications of differential costs?
  12. What are the differences between the marginal costs and differential costs of a company?
  13. State the factors to be considered while closing down the operations of a business organization.

Test questions relevant cost for decision making 1

Test questions relevant cost for decision making 2

Test questions relevant cost for decision making 3

 

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