Question 1

Determining the number of components to put into a computer monitor is an example of which of the following value chain functions?

Accepted Answer

A) research and development 
B) design of products,services,and processes 
C) production 
D) marketing 
E) distribution 
A) research and development 
B) design of products,services,and processes 
C) production 
D) marketing 
E) distribution

Question 2

The text identifies six ways to classify the major differences between Management and Financial Accounting.The statement "Communicate organization's financial position to external users" is an example of which of the following classes?

Accepted Answer

A) purpose of information 
B) primary users 
C) focus and emphasis 
D) rules of measurement and reporting 
E) time span and type of reports 
A) purpose of information 
B) primary users 
C) focus and emphasis 
D) rules of measurement and reporting 
E) time span and type of reports

Question 3

Understanding the reasons for any difference between actual results and budgeted amounts is an important aspect of

Accepted Answer

A) extended value-chain analysis. 
B) forecasting for the next accounting period. 
C) kaizen management. 
D) control. 
E) management by perception. 
A) extended value-chain analysis. 
B) forecasting for the next accounting period. 
C) kaizen management. 
D) control. 
E) management by perception.

Question 4

The cost-benefit approach should be used to make resource allocation decisions.

Accepted Answer

A) True 
 B)False

Question 5

Generally,companies follow one of two broad strategies: offering a quality product at a low price,or offering a unique product or service priced higher than the competition.Is it possible to follow a strategy that is "in the middle"?

Accepted Answer

There is some dispute about the correct

Question 6

In what way do managers benefit from the use of a management information system?

Accepted Answer

A) Data can be entered at numerous input terminals within the organization. 
B) The managers would not be completely responsible for the information that is entered into the database system. 
C) The managers could combine or adjust data to answer the questions from particular internal and external users. 
D) The managers do not benefit,as the information requires technical expertise to retrieve. 
E) Managers can store old documents in hard copy. 
A) Data can be entered at numerous input terminals within the organization. 
B) The managers would not be completely responsible for the information that is entered into the database system. 
C) The managers could combine or adjust data to answer the questions from particular internal and external users. 
D) The managers do not benefit,as the information requires technical expertise to retrieve. 
E) Managers can store old documents in hard copy.

Question 7

An accountant that agrees with the company president to defer the recognition of an earned revenue is in a breach of which of the following dimensions of professional conduct?

Accepted Answer

A) adherence to rules of professional conduct 
B) conduct that contravenes an act,the regulations,or the bylaws 
C) conduct that displays a lack of competence 
D) failure or refusal to co-operate in a practice review 
E) participating in a conflict of interest 
A) adherence to rules of professional conduct 
B) conduct that contravenes an act,the regulations,or the bylaws 
C) conduct that displays a lack of competence 
D) failure or refusal to co-operate in a practice review 
E) participating in a conflict of interest

Question 8

The value chain is the sequence of business functions in which

Accepted Answer

A) value is deducted from the products or services of an organization. 
B) value is proportionately added to the products or services of an organization. 
C) rational experimentation is performed to enhance product compatibility. 
D) products and services are evaluated with respect to their value to the supply chain. 
E) usefulness is added to the products or services of an organization. 
A) value is deducted from the products or services of an organization. 
B) value is proportionately added to the products or services of an organization. 
C) rational experimentation is performed to enhance product compatibility. 
D) products and services are evaluated with respect to their value to the supply chain. 
E) usefulness is added to the products or services of an organization.

Question 9

Management accountants have important ethical responsibilities that are related to competence,duty of care,objectivity,and professionalism.

Accepted Answer

A) True 
 B)False

Question 10

For best results,cost management emphasizes independently coordinating supply chain activities within a company and not interfering with other companies.

Accepted Answer

A) True 
 B)False

Question 11

A bonus paid to high performing sales persons is an example of an intrinsic reward.

Accepted Answer

A) True 
 B)False

Question 12

The problem identification function is the accumulation of data and reporting reliable results to all levels of management.

Accepted Answer

A) True 
 B)False

Question 13

The supply chain refers to the sequence of business functions in which customer usefulness is added to products or services.

Accepted Answer

A) True 
 B)False

Question 14

As teamwork has become more prominent in the last few years,the traditional distinctions between staff and line management

Accepted Answer

A) has increased. 
B) has become more important relative to promotions. 
C) has diminished. 
D) has only been evident in the employee reward system. 
E) has become less clear cut in the employee reward system. 
A) has increased. 
B) has become more important relative to promotions. 
C) has diminished. 
D) has only been evident in the employee reward system. 
E) has become less clear cut in the employee reward system.

Question 15

Learning arises from comparing actual performance to expected performance.

Accepted Answer

A) True 
 B)False

Question 16

Financial accounting is concerned primarily with

Accepted Answer

A) cost planning and cost controls. 
B) external reporting to investors,government authorities,etc. 
C) profitability analysis. 
D) providing information for strategic and tactical decisions. 
E) providing analysis to facilitate long term decision making. 
A) cost planning and cost controls. 
B) external reporting to investors,government authorities,etc. 
C) profitability analysis. 
D) providing information for strategic and tactical decisions. 
E) providing analysis to facilitate long term decision making.

Question 17

R&D,production,and customer service are business functions that are all included as part of

Accepted Answer

A) the value chain. 
B) benchmarking. 
C) marketing. 
D) the supply chain. 
E) the company strategy. 
A) the value chain. 
B) benchmarking. 
C) marketing. 
D) the supply chain. 
E) the company strategy.

Question 18

The method recommended for a management accountant in dealing with a resource allocation decision is

Accepted Answer

A) management by exception. 
B) total value chain analysis. 
C) analysis based on feedback. 
D) the variance analysis approach. 
E) the cost-benefit approach. 
A) management by exception. 
B) total value chain analysis. 
C) analysis based on feedback. 
D) the variance analysis approach. 
E) the cost-benefit approach.

Question 19

"Cost management" describes

Accepted Answer

A) the actions by managers to increase value for customers while continuously reducing and controlling costs. 
B) the identification of excessive costs in the production process. 
C) the satisfaction of customers' needs. 
D) actions by managers to satisfy customers while maintaining current cost levels. 
E) ensuring all costs remains constant. 
A) the actions by managers to increase value for customers while continuously reducing and controlling costs. 
B) the identification of excessive costs in the production process. 
C) the satisfaction of customers' needs. 
D) actions by managers to satisfy customers while maintaining current cost levels. 
E) ensuring all costs remains constant.

Question 20

Complete a performance report for the month of May,2015,for the Daily Bulletin,a regional newspaper.Use four columns: 1)Actual Result;2)Budgeted Amount;3)Difference: Actual Result minus Budgeted Amount;4)Difference as a Percentage of Budgeted Amount;AND,three rows: 1)advertising pages sold;2)average rate per page;3)advertising revenues.Use the following data:
   
Does the report indicate any cause for managerial investigation?

Accepted Answer

The performance report should look somet

Exam 1: The Accountants Vital Role in Decision Making

Determining the number of components to put into a computer monitor is an example of which of the following value chain functions?

The text identifies six ways to classify the major differences between Management and Financial Accounting.The statement "Communicate organization's financial position to external users" is an example of which of the following classes?

Understanding the reasons for any difference between actual results and budgeted amounts is an important aspect of

The cost-benefit approach should be used to make resource allocation decisions.

Generally,companies follow one of two broad strategies: offering a quality product at a low price,or offering a unique product or service priced higher than the competition.Is it possible to follow a strategy that is "in the middle"?

In what way do managers benefit from the use of a management information system?

An accountant that agrees with the company president to defer the recognition of an earned revenue is in a breach of which of the following dimensions of professional conduct?

The value chain is the sequence of business functions in which

Management accountants have important ethical responsibilities that are related to competence,duty of care,objectivity,and professionalism.

For best results,cost management emphasizes independently coordinating supply chain activities within a company and not interfering with other companies.

A bonus paid to high performing sales persons is an example of an intrinsic reward.

The problem identification function is the accumulation of data and reporting reliable results to all levels of management.

The supply chain refers to the sequence of business functions in which customer usefulness is added to products or services.

As teamwork has become more prominent in the last few years,the traditional distinctions between staff and line management

Learning arises from comparing actual performance to expected performance.

Financial accounting is concerned primarily with

R&D,production,and customer service are business functions that are all included as part of

The method recommended for a management accountant in dealing with a resource allocation decision is

"Cost management" describes

An Introduction to Cost Terms and Purposes

Cost-Volume-Profit Analysis

Job Costing

Activity-Based Costing and Management

Master Budget and Responsibility Accounting

Flexible Budgets,variances,and Management Control: I

Flexible Budgets,variances,and Management Control: II

Income Effects of Denominator Level on Inventory Valuation

Analysis of Cost Behaviour

Decision Making and Relevant Information

Pricing Decisions, product Profitability Decisions, and Cost Management

Strategy,balanced Scorecard,and Profitability Analysis

Period Cost Allocation

Cost Allocation: Joint Products and Byproducts

Revenue and Customer Profitability Analysis

Process Costing

Spoilage, rework, and Scrap

Inventory Cost Management Strategies

Capital Budgeting: Methods of Investment Analysis

Transfer Pricing and Multinational Management Control Systems

Multinational Performance Measurement and Compensation

Filters