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Management Accounting

Last Update Jul 19, 2024
Total Questions : 260

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Management Accounting Questions and Answers

Questions 1

The manager of a recently opened cafe is deciding how many sandwiches to make each day.

The sandwiches are made in the morning before the cafe opens.

If demand exceeds the number of sandwiches made in the morning no extra sandwiches can be made during the day. Any unsold sandwiches are thrown away at the end of each day.

Daily demand is uncertain but is predicted to be 10, 20, 30 or 40 sandwiches.

The following regret matrix has been prepared:

If the minimax regret criterion is used to make the decision, the manager will choose to make:


Questions 2

Place the type of budget or cost against its definition.


Questions 3

The standard production cost of making a product is as follows:

What is the fixed production overhead efficiency variance?

Give your answer as a whole number.