Management Archives

1111. If actual input price is $150 and budgeted input price is $80, then price variance will be

A. $130

B. $70

C. $150

D. $80

✅ The correct answer is option B.
Price variance = Actual price input – Budgeted price of input
= $150 – $80 = $70.

1112. If there are ‘m’ original variables and ‘n’ introduced variables, then there will be _____________ columns in the simplex table.

A. M + n

B. M – n

C. 3 +m + n

D. M + n – 1

✅ The correct answer is option C.
If there are ‘m’ original variables and ‘n’ introduced variables, then there will be 3 + m + n columns in the simplex table.

1113. Financial instruments such as treasury bonds and notes have

A. lesser cost fluctuations

B. wider price fluctuations

C. less price fluctuations

D. wider cost fluctuations

✅ The correct answer is option B.
Financial instruments such as treasury bonds and notes have wider price fluctuations. A financial instrument is a monetary contract between parties. We can create, trade, or modify them. We can also settle them. A financial instrument may be evidence of ownership of part of something, as in stocks and shares. Bonds, which are contractual rights to receive cash, are financial instruments.

1114. If actual performance exceeds the expected performance of the product, then customer is _____________.

A. Satisfied

B. Dissatisfied

C. Delighted

D. Neutral

✅ The correct answer is option C.
If actual performance exceeds the expected performance of the product, then customer is delighted. This can lead to satisfaction among customers. If actual performance exceeds the target performance (positive disconfirmation), it can lead to a particularly large degree of satisfaction among customers (enthusiasm).

1115. Linear Programming technique is used to allocate scarce resources in an optimum manner in problems of ______________ ?

A. Schedule

B. Product Mix

C. Both A and B

D. Servicing Cost

✅ The correct answer is option C.
Linear Programming technique is used to allocate scarce resources in an optimum manner in problems of Schedule and Product Mix. Linear programming is a mathematical technique for allocating limited resources is optimum manner. In the words of William M. Fox, “Linear programming is a planning technique that permits some objective function to be minimized or maximized within the framework of given situational restrictions.”

1116. Which of the following statement is True(T) or False(F) are given below. 1. Professional reading is done when you need is continue learning and studying so that you develop your own thinking and skills. 2. Action reading is done when you do not need to do something concrete in the not too distant future after you have read. 3. A reader can understand a text only when s / he actively uses his / her mental abilities.

A. TTT

B. FFF

C. TFT

D. FTF

✅ The correct answer is option C.
1. Professional reading is done when you need is continue learning and studying so that you develop your own thinking and skills.

2. Action reading is done when you need to do something concrete in the not too distant future after you have read.

3. A reader can understand a text only when s / he actively uses his / her mental abilities.

1117. Rupee amount for required return of investment is subtracted from income to calculate

A. net income

B. after tax income

C. residual income

D. operating income

✅ The correct answer is option C.
Rupee amount for required return of investment is subtracted from income to calculate residual income. Residual income is excess income generated more than the minimum rate of return. Residual income is a measurement of internal corporate performance, whereby a company’s management team evaluates the income generated relative to the company’s minimum required return.

1118. PDA means ______.

A. Pocket Data Assistants

B. Personal Data Assistants

C. Pocket Digital Assistants

D. Personal Digital Assistants

✅ The correct answer is option D.
PDA means Personal Digital Assistants. A personal digital assistant is a small mobile device that provides computing and information storage capabilities.

1119. Situation analysis involves the process of:

A. designing and choosing appropriate organizational strategies

B. analyzing the current environment of the organization

C. analyzing the external environment only

D. evaluating the internal aspects of the organization

✅ The correct answer is option B.
Situation analysis involves the process of analyzing the current environment of the organization. Situation analysis is defined as an analysis of the internal and external factors of a business. It clearly identifies a business’s capabilities, customers, potential customers and business environment, and their impact on the company.

1120. Difference between an actual budget and corresponding amount in static budget is classified as

A. correspondent budget

B. full budget variance

C. methodology variance

D. static budget variance

✅ The correct answer is option D.
Difference between an actual budget and corresponding amount in static budget is classified as static budget variance. Static budget variances are the differences between what a company or individual thought it would spend in its budget versus what it actually did.