Residual Income MCQs Quiz Online PDF Download

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MCQs on Residual IncomeQuiz PDF Download

MCQ: An investment is multiplied to required rate of return, to calculate

  1. congruent cost of investment
  2. transfer cost of investment
  3. operating cost of investment
  4. imputed cost of investment


MCQ: If required rate of return is 13%, operating income is $375000 and total investment is $2650000, then residual income would be

  1. $30,500
  2. $20,500
  3. $25,500
  4. $32,500


MCQ: Costs that are not incorporated in accounting records, but are recognized in different situations are classified as

  1. congruent costs
  2. imputed costs
  3. operating costs
  4. transfer costs


MCQ: Rupee amount for required return of investment is subtracted from income to calculate

  1. net income
  2. after tax income
  3. residual income
  4. operating income