Question 1

Specialization by individuals is giving way to decision making by cross- functional teams.

Accepted Answer

A) True 
 B)False

Question 2

The Gotcha Company held a Christmas party. The company expected attendance of 200 persons and prepared the following budget: $\begin{array}{ll}
\text { Hotel room rental } & \$ 600 \
\text { Food } & 500 \
\text { Entertainment } & 800 \
\text { Decorations } & \underline{300} \
\text { Totals } & \$ 2,200
\end{array}$ After all bills for the party were paid, the total came to $2,315. Details are: $575 for hotel room rental; $640 for food; $750 for entertainment; and $350 for decorations. Two hundred persons attended the party. What is the total budget variance?

Accepted Answer

A)  $115 unfavorable is the total budget variance. 
B)  $140 unfavorable is the total budget variance. 
C)  $25 favorable is the total budget variance. 
D)  $115 favorable is the total budget variance. 
A)  $115 unfavorable is the total budget variance. 
B)  $140 unfavorable is the total budget variance. 
C)  $25 favorable is the total budget variance. 
D)  $115 favorable is the total budget variance.

Question 3

Customer service is the function of a value chain that includes:

Accepted Answer

A)  the manner by which individuals or groups learn about the value and features of products or services 
B)  the support activities provided to the customer 
C)  the mechanism by which products or services are delivered to the customer 
D)  All of these answers are correct. 
A)  the manner by which individuals or groups learn about the value and features of products or services 
B)  the support activities provided to the customer 
C)  the mechanism by which products or services are delivered to the customer 
D)  All of these answers are correct.

Question 4

Describe the major users of accounting information.

Accepted Answer

In general, users of accounting informat

Question 5

Discuss the role accountants play in a company's value chain functions.

Accepted Answer

In the production stage, accountants mea

Question 6

Feedback is usually not crucial in controlling.

Accepted Answer

A) True 
 B)False

Question 7

The Chief Financial Officer deals with finance and accounting issues.

Accepted Answer

A) True 
 B)False

Question 8

A person who reports wrongdoings to his or her supervisor

Accepted Answer

The answer of A person who reports wrongdoings to his...

Question 9

is (are) the primary consideration in choosing among accounting systems and methods.

Accepted Answer

A)  Behavioral implications 
B)  Simplicity 
C)  Computerization 
D)  The cost- benefit balance 
A)  Behavioral implications 
B)  Simplicity 
C)  Computerization 
D)  The cost- benefit balance

Question 10

Authority to advise, but not to command which may be exerted downward, laterally, or upward

Accepted Answer

The answer of Authority to advise, but not to command...

Question 11

An example of a staff department at a clothes manufacturer is the:

Accepted Answer

A)  pressing department 
B)  cutting department 
C)  maintenance department 
D)  sales department 
A)  pressing department 
B)  cutting department 
C)  maintenance department 
D)  sales department

Question 12

Your close friend is a shareholder of the company that employs you, a management accountant. The friend asks you for information that is typically available only to company management. Sharing this information with your friend violates the ethical standard of:

Accepted Answer

A)  objectivity 
B)  integrity 
C)  competence 
D)  confidentiality 
A)  objectivity 
B)  integrity 
C)  competence 
D)  confidentiality

Question 13

The Slamma Jamma Sorority held a party. The sorority prepared the following budget for 50 expected attendees: $\begin{array}{ll}
\text { Room rental } & \$ 150 \
\text { Food } & 310 \
\text { Entertainment } & 150 \
\text { Decorations } & \underline{75} \
\text { Totals } & \$ 685
\end{array}$ After all bills for the party were paid, the total came to $760. Details are: $240 for room rental; $320 for food; $145 for entertainment; and $75 for decorations. Fifty persons attended the party. Which of the following costs deserves further examination assuming the sorority uses the management- by- exception rule?

Accepted Answer

A)  Room rent deserves further explanation. 
B)  Entertainment deserves further explanation. 
C)  Decorations deserve further explanation. 
D)  Food deserves further explanation. 
A)  Room rent deserves further explanation. 
B)  Entertainment deserves further explanation. 
C)  Decorations deserve further explanation. 
D)  Food deserves further explanation.

Question 14

Scorekeeping enables internal and external parties to evaluate organizational performance.

Accepted Answer

A) True 
 B)False

Question 15

Weighing estimated costs against probable benefits

Accepted Answer

Cost- bene

Question 16

The primary users of management accounting information are:

Accepted Answer

A)  bankers 
B)  governmental regulatory authorities 
C)  suppliers 
D)  internal decision makers 
A)  bankers 
B)  governmental regulatory authorities 
C)  suppliers 
D)  internal decision makers

Question 17

One advantage of the management- by- exception approach is that it:

Accepted Answer

A)  takes advantage of computerization 
B)  allows managers to ignore day- to- day concerns so they can focus on crises 
C)  frees managers from needless concern over operations that are running smoothly 
D)  allows managers to ignore aspects of the business outside their area of expertise 
A)  takes advantage of computerization 
B)  allows managers to ignore day- to- day concerns so they can focus on crises 
C)  frees managers from needless concern over operations that are running smoothly 
D)  allows managers to ignore aspects of the business outside their area of expertise

Question 18

According to the Financial Executives Institute, one function of controllership is:

Accepted Answer

A)  reporting and interpreting financial information 
B)  provision of capital 
C)  investments 
D)  short- term financing 
A)  reporting and interpreting financial information 
B)  provision of capital 
C)  investments 
D)  short- term financing

Question 19

All service organizations are similar in that:

Accepted Answer

A)  they are capital intensive 
B)  major inputs and outputs can be stored 
C)  output is usually difficult to define 
D)  there is very little labor 
A)  they are capital intensive 
B)  major inputs and outputs can be stored 
C)  output is usually difficult to define 
D)  there is very little labor

Question 20

According to the Standards of Ethical Conduct for Management Accountants, the standard of competence includes:

Accepted Answer

A)  disclosing all relevant information 
B)  the ongoing development of the accountant's knowledge and skills 
C)  avoiding actual or apparent conflicts of interest 
D)  All of these answers are correct. 
A)  disclosing all relevant information 
B)  the ongoing development of the accountant's knowledge and skills 
C)  avoiding actual or apparent conflicts of interest 
D)  All of these answers are correct.

Specialization by individuals is giving way to decision making by cross- functional teams.

Customer service is the function of a value chain that includes:

Describe the major users of accounting information.

Discuss the role accountants play in a company's value chain functions.

Feedback is usually not crucial in controlling.

The Chief Financial Officer deals with finance and accounting issues.

A person who reports wrongdoings to his or her supervisor

is (are) the primary consideration in choosing among accounting systems and methods.

Authority to advise, but not to command which may be exerted downward, laterally, or upward

An example of a staff department at a clothes manufacturer is the:

Your close friend is a shareholder of the company that employs you, a management accountant. The friend asks you for information that is typically available only to company management. Sharing this information with your friend violates the ethical standard of:

Scorekeeping enables internal and external parties to evaluate organizational performance.

Weighing estimated costs against probable benefits

The primary users of management accounting information are:

One advantage of the management- by- exception approach is that it:

According to the Financial Executives Institute, one function of controllership is:

All service organizations are similar in that:

According to the Standards of Ethical Conduct for Management Accountants, the standard of competence includes:

Introduction to Cost Behavior and Cost Volume Relationships

Measurement of Cost Behavior

Cost Management Systems and Activity-Based Costing

Relevant Information and Decision-Making: Marketing Decisions

Relevant Information and Decision-Making: Product Decisions

The Master Budget

Flexible Budget and Variance Analysis

Management Control Systems and Responsibility Accounting

Management Control in Decentralized Organizations

Capital Budgeting

Cost Allocation

Job-Costing

Process-Costing Systems

Overhead Application: Variable and Absorbtion Costing

Basic Accounting Concepts, Techniques, and Conventions

Understanding Corporate Annual Reports: Basic Financial Statements

Filters

Exam 1: Managerial Accounting and the Business Organization

Specialization by individuals is giving way to decision making by cross- functional teams.

Customer service is the function of a value chain that includes:

Describe the major users of accounting information.

Discuss the role accountants play in a company's value chain functions.

Feedback is usually not crucial in controlling.

The Chief Financial Officer deals with finance and accounting issues.

A person who reports wrongdoings to his or her supervisor

is (are) the primary consideration in choosing among accounting systems and methods.

Authority to advise, but not to command which may be exerted downward, laterally, or upward

An example of a staff department at a clothes manufacturer is the:

Your close friend is a shareholder of the company that employs you, a management accountant. The friend asks you for information that is typically available only to company management. Sharing this information with your friend violates the ethical standard of:

Scorekeeping enables internal and external parties to evaluate organizational performance.

Weighing estimated costs against probable benefits

The primary users of management accounting information are:

One advantage of the management- by- exception approach is that it:

According to the Financial Executives Institute, one function of controllership is:

All service organizations are similar in that:

According to the Standards of Ethical Conduct for Management Accountants, the standard of competence includes:

Introduction to Cost Behavior and Cost Volume Relationships

Measurement of Cost Behavior

Cost Management Systems and Activity-Based Costing

Relevant Information and Decision-Making: Marketing Decisions

Relevant Information and Decision-Making: Product Decisions

The Master Budget

Flexible Budget and Variance Analysis

Management Control Systems and Responsibility Accounting

Management Control in Decentralized Organizations

Capital Budgeting

Cost Allocation

Job-Costing

Process-Costing Systems

Overhead Application: Variable and Absorbtion Costing

Basic Accounting Concepts, Techniques, and Conventions

Understanding Corporate Annual Reports: Basic Financial Statements

Filters