Management Accounting Online Test Questions Part 5

21. Folio refers to the _____ of the books of original entry or the ledger.

a. Books
b. Page number
c. File
d. Transactions

Answer: b. Page number

22. Which of the following is true about the nature of Ideal Standards?

i] They are generally practical
ii] They are generally theoretical
iii] They usually show an unfavourable trend
iv] They usually don't show variances

a. i and ii
b. i and iv
c. ii and iii
d. ii and iv

Answer: c. ii and iii

23. What type of a statement is Profit & Loss statement?

a. Periodical
b. Limited
c. Final
d. Irrelevant

Answer: a. Periodical