Question 1

Which of the following statements is true?

Accepted Answer

A)  Management accounting information is used by organization managers at various levels. 
B)  Management accounting information tends to be more detailed than financial accounting. 
C)  Management accounting plays a vital role in the achievement of a company's goals and objectives. 
D)  All of these answers are correct. 
A)  Management accounting information is used by organization managers at various levels. 
B)  Management accounting information tends to be more detailed than financial accounting. 
C)  Management accounting plays a vital role in the achievement of a company's goals and objectives. 
D)  All of these answers are correct.

Question 2

The four major business trends that are currently causing changes in management accounting

Accepted Answer

Shift from manufacturing to a

Question 3

The Institute of Management Accountants has adopted a set of standards of ethical conduct which includes codes of conduct regarding all of the following except:

Accepted Answer

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

Question 4

Discuss the four major business trends that are currently causing changes in management accounting.

Accepted Answer

The first major trend is the shift from

Question 5

The only link in the value chain where accountants are of any importance is the production stage.

Accepted Answer

A) True 
 B)False

Question 6

Budgets:

Accepted Answer

A)  are deviations from a plan 
B)  are quantitative expressions of action plans 
C)  ignore areas that are presumed to be running smoothly 
D)  provide feedback by comparing results with plans and by highlighting deviations from plans 
A)  are deviations from a plan 
B)  are quantitative expressions of action plans 
C)  ignore areas that are presumed to be running smoothly 
D)  provide feedback by comparing results with plans and by highlighting deviations from plans

Question 7

Which scorecard function is associated with planning and control?

Accepted Answer

A)  Problem solving is associated with planning and control. 
B)  Scorekeeping is associated with planning and control. 
C)  Attention directing is associated with planning and control. 
D)  None of these answers is correct. 
A)  Problem solving is associated with planning and control. 
B)  Scorekeeping is associated with planning and control. 
C)  Attention directing is associated with planning and control. 
D)  None of these answers is correct.

Question 8

Working as an accountant only provides exposure to only a few parts of an organization.

Accepted Answer

A) True 
 B)False

Question 9

Decisions within an organization are often divided into two types: (1) planning decisions and (2) control decisions.

Accepted Answer

A) True 
 B)False

Question 10

The Findley Company held a Groundhog Day party. The company expected attendance of 200 persons and prepared the following budget: $\begin{array}{ll}
\text { Hotel room rental } & \$ 600 \
\text { Food } & 500 \
\text { Entertainment } & 800 \
\text { Decorations } & \underline{300} \
\text { Totals } & \underline{\$ 2,200}
\end{array}$ 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. Which of the following costs deserves further examination assuming the Findley Company uses the management- by- exception rule?

Accepted Answer

A)  Entertainment deserves further examination. 
B)  Decorations deserve further examination. 
C)  Hotel room rent deserves further examination 
D)  Food deserves further examination. 
A)  Entertainment deserves further examination. 
B)  Decorations deserve further examination. 
C)  Hotel room rent deserves further examination 
D)  Food deserves further examination.

Question 11

Deviations from plans

Accepted Answer

The answer of Deviations from plans...

Question 12

At a clothing manufacturer, line authority is held by the head of which department?

Accepted Answer

A)  The head of the receiving department holds line authority. 
B)  The head of the shipping department holds line authority. 
C)  The head of the assembly department holds line authority. 
D)  All of these answers are correct. 
A)  The head of the receiving department holds line authority. 
B)  The head of the shipping department holds line authority. 
C)  The head of the assembly department holds line authority. 
D)  All of these answers are correct.

Question 13

The Findlay Company held an Independence Day party. The company expected attendance of 200 persons and prepared the following budget: $\begin{array}{ll}
\text { Hotel room rental } & \$ 600 \
\text { Food } & 400 \
\text { Entertainment } & \$ 00 \
\text { Decorations } & \$ 300 \
\text { Totals } & \$ 2,100
\end{array}$ 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 variance in food?

Accepted Answer

A)  $240 unfavorable is the food variance. 
B)  $70 favorable is the food variance. 
C)  $25 favorable is the food variance. 
D)  $70 unfavorable is the food variance. 
A)  $240 unfavorable is the food variance. 
B)  $70 favorable is the food variance. 
C)  $25 favorable is the food variance. 
D)  $70 unfavorable is the food variance.

Question 14

Most products have short development stages and long market lives.

Accepted Answer

A) True 
 B)False

Question 15

Emphasis on long- term results creates pressures for unethical behavior.

Accepted Answer

A) True 
 B)False

Question 16

Reporting and interpreting information that helps managers focus on operating problems

Accepted Answer

The answer of Reporting and interpreting information that helps managers...

Question 17

The management accountant's counterpart to the CPA designation

Accepted Answer

Certified

Question 18

Performance reports:

Accepted Answer

A)  are quantitative expressions of action plans 
B)  ignore areas that are presumed to be running smoothly 
C)  provide feedback by comparing results with plans and by highlighting deviations from plans 
D)  are deviations from a plan 
A)  are quantitative expressions of action plans 
B)  ignore areas that are presumed to be running smoothly 
C)  provide feedback by comparing results with plans and by highlighting deviations from plans 
D)  are deviations from a plan

Question 19

Which of the following products have a product life cycle of a few months?

Accepted Answer

A)  Electric stoves have a product life cycle of a few months. 
B)  Fashion clothing has a product life cycle of a few months. 
C)  Planes have a product life cycle of a few months. 
D)  Automobiles have a product life cycle of a few months. 
A)  Electric stoves have a product life cycle of a few months. 
B)  Fashion clothing has a product life cycle of a few months. 
C)  Planes have a product life cycle of a few months. 
D)  Automobiles have a product life cycle of a few months.

Question 20

Generally accepted accounting principles play an important part in management accounting.

Accepted Answer

A) True 
 B)False

Which of the following statements is true?

The four major business trends that are currently causing changes in management accounting

The Institute of Management Accountants has adopted a set of standards of ethical conduct which includes codes of conduct regarding all of the following except:

Discuss the four major business trends that are currently causing changes in management accounting.

The only link in the value chain where accountants are of any importance is the production stage.

Budgets:

Which scorecard function is associated with planning and control?

Working as an accountant only provides exposure to only a few parts of an organization.

Decisions within an organization are often divided into two types: (1) planning decisions and (2) control decisions.

Deviations from plans

At a clothing manufacturer, line authority is held by the head of which department?

Most products have short development stages and long market lives.

Emphasis on long- term results creates pressures for unethical behavior.

Reporting and interpreting information that helps managers focus on operating problems

The management accountant's counterpart to the CPA designation

Performance reports:

Which of the following products have a product life cycle of a few months?

Generally accepted accounting principles play an important part in management accounting.

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

Which of the following statements is true?

The four major business trends that are currently causing changes in management accounting

The Institute of Management Accountants has adopted a set of standards of ethical conduct which includes codes of conduct regarding all of the following except:

Discuss the four major business trends that are currently causing changes in management accounting.

The only link in the value chain where accountants are of any importance is the production stage.

Budgets:

Which scorecard function is associated with planning and control?

Working as an accountant only provides exposure to only a few parts of an organization.

Decisions within an organization are often divided into two types: (1) planning decisions and (2) control decisions.

Deviations from plans

At a clothing manufacturer, line authority is held by the head of which department?

Most products have short development stages and long market lives.

Emphasis on long- term results creates pressures for unethical behavior.

Reporting and interpreting information that helps managers focus on operating problems

The management accountant's counterpart to the CPA designation

Performance reports:

Which of the following products have a product life cycle of a few months?

Generally accepted accounting principles play an important part in management accounting.

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