Question 1

To take advantage of changing market opportunities,the annual budget should be strictly enforced.

Accepted Answer

A) True 
 B)False

Question 2

The design of products,services,and processes component of the supply chain refers to the detailed planning,engineering,and testing of products and processes.

Accepted Answer

A) True 
 B)False

Question 3

Which of the following statements about a company's supply chain is true?

Accepted Answer

A)  A company's supply chain is always internal to a firm. 
B)  A company's supply chain is always external to a firm. 
C)  A company's supply chain is the same thing as a company's value chain. 
D)  Management accountants provide information to enhance a company's supply chain. 
A)  A company's supply chain is always internal to a firm. 
B)  A company's supply chain is always external to a firm. 
C)  A company's supply chain is the same thing as a company's value chain. 
D)  Management accountants provide information to enhance a company's supply chain.

Question 4

The increasing pace of technological information has resulted in longer product lifecycles.

Accepted Answer

A) True 
 B)False

Question 5

A budget helps to control activities by adhering to the prescribed plan.

Accepted Answer

A) True 
 B)False

Question 6

Cost management not only helps reducing costs but also improving customer satisfaction and the quality of a firm's products.

Accepted Answer

A) True 
 B)False

Question 7

Which of the following differentiates confidentiality and credibility under the Standards of Ethical Conduct?

Accepted Answer

A)  Credibility deals with refraining from activities that would prejudice carrying duties ethically, while confidentiality deals with communicating information fairly and objectively. 
B)  Confidentiality deals with refraining from the usage of critical information for unethical or illegal advantage, while credibility ensures disclosing the relevant information that would help the intended user's understanding. 
C)  Credibility deals with refraining from the usage of critical information for unethical or illegal advantage, while confidentiality ensures disclosing the relevant information that would help the user's understanding. 
D)  Credibility ensures appropriate level of professional expertise by continually developing knowledge and skills, while confidentiality encourages mitigation of actual conflicts of interest. 
A)  Credibility deals with refraining from activities that would prejudice carrying duties ethically, while confidentiality deals with communicating information fairly and objectively. 
B)  Confidentiality deals with refraining from the usage of critical information for unethical or illegal advantage, while credibility ensures disclosing the relevant information that would help the intended user's understanding. 
C)  Credibility deals with refraining from the usage of critical information for unethical or illegal advantage, while confidentiality ensures disclosing the relevant information that would help the user's understanding. 
D)  Credibility ensures appropriate level of professional expertise by continually developing knowledge and skills, while confidentiality encourages mitigation of actual conflicts of interest.

Question 8

Which of the following is a function of a controller?

Accepted Answer

A)  operations administration 
B)  controlling the stock price 
C)  communication with the shareholders 
D)  interest-rate risk management 
A)  operations administration 
B)  controlling the stock price 
C)  communication with the shareholders 
D)  interest-rate risk management

Question 9

Which of the following is true of a budgeting system?

Accepted Answer

A)  It compels managers to plan ahead. 
B)  It increases agency costs. 
C)  It is easy to measure the exact benefits of a budgeting system. 
D)  It leads to operational inefficiency. 
A)  It compels managers to plan ahead. 
B)  It increases agency costs. 
C)  It is easy to measure the exact benefits of a budgeting system. 
D)  It leads to operational inefficiency.

Question 10

A company's strategy specifies how an organization matches its capabilities with the opportunities in the marketplace.

Accepted Answer

A) True 
 B)False

Question 11

Staff management,such as management accountants and information technology and human-resources management,provides advice,support,and assistance to line management.

Accepted Answer

A) True 
 B)False

Question 12

Which of the following is true of sustainability?

Accepted Answer

A)  It helps in implementing strategies to improvise the product. 
B)  It concerns with purchase of material in larger quantities. 
C)  It helps the development and implementation of strategies to achieve long-term financial, social, and environmental goals. 
D)  It helps manufacturing firms produce products more efficiently ensuring lower costs at an optimum use of available resources. 
A)  It helps in implementing strategies to improvise the product. 
B)  It concerns with purchase of material in larger quantities. 
C)  It helps the development and implementation of strategies to achieve long-term financial, social, and environmental goals. 
D)  It helps manufacturing firms produce products more efficiently ensuring lower costs at an optimum use of available resources.

Question 13

In a cost-benefit approach,managers should spend resources if the ________.

Accepted Answer

A)  marginal costs to the company exceed the marginal benefits 
B)  expected benefits to the company exceed the expected costs 
C)  marginal costs to the company equal the marginal benefits 
D)  expected benefits to the company equal the expected costs 
A)  marginal costs to the company exceed the marginal benefits 
B)  expected benefits to the company exceed the expected costs 
C)  marginal costs to the company equal the marginal benefits 
D)  expected benefits to the company equal the expected costs

Question 14

Briefly describe the list of items that managers undertake to formulate strategies.

Accepted Answer

ONE: Identifying the most important cust

Question 15

Strategic financial management describes cost management that specifically focuses on strategic issues.

Accepted Answer

A) True 
 B)False

Question 16

Which of the following statements about customer value is true?

Accepted Answer

A)  Customer value is shown in a corporation's balance sheet. 
B)  Creating value for customers is an important part of planning and implementing strategy. 
C)  Customer value is the only focus that helps managers to formulate strategies. 
D)  Customer value is lost with increase in costs of the product. 
A)  Customer value is shown in a corporation's balance sheet. 
B)  Creating value for customers is an important part of planning and implementing strategy. 
C)  Customer value is the only focus that helps managers to formulate strategies. 
D)  Customer value is lost with increase in costs of the product.

Question 17

________ is an after-sale support provided to customers.

Accepted Answer

A)  Distribution 
B)  Customer service 
C)  Production 
D)  Marketing 
A)  Distribution 
B)  Customer service 
C)  Production 
D)  Marketing

Question 18

Which of the following is true of planning in decision making?

Accepted Answer

A)  It helps an organization to select goals and strategies. 
B)  It improves the quality of products. 
C)  It helps in evaluating performance. 
D)  It helps in the analysis of actual performance. 
A)  It helps an organization to select goals and strategies. 
B)  It improves the quality of products. 
C)  It helps in evaluating performance. 
D)  It helps in the analysis of actual performance.

Question 19

The parts of the value chain associated with producing and delivering a product or service-production and distribution-are referred to as the supply chain.

Accepted Answer

A) True 
 B)False

Question 20

Which of the following is an area that customers want to see improved levels of performance?

Accepted Answer

A)  higher sales margin 
B)  quality of the product 
C)  lower marginal costs 
D)  profit margins 
A)  higher sales margin 
B)  quality of the product 
C)  lower marginal costs 
D)  profit margins

Exam 1: The Manager and Management Accounting

To take advantage of changing market opportunities,the annual budget should be strictly enforced.

The design of products,services,and processes component of the supply chain refers to the detailed planning,engineering,and testing of products and processes.

Which of the following statements about a company's supply chain is true?

The increasing pace of technological information has resulted in longer product lifecycles.

A budget helps to control activities by adhering to the prescribed plan.

Cost management not only helps reducing costs but also improving customer satisfaction and the quality of a firm's products.

Which of the following differentiates confidentiality and credibility under the Standards of Ethical Conduct?

Which of the following is a function of a controller?

Which of the following is true of a budgeting system?

A company's strategy specifies how an organization matches its capabilities with the opportunities in the marketplace.

Staff management,such as management accountants and information technology and human-resources management,provides advice,support,and assistance to line management.

Which of the following is true of sustainability?

In a cost-benefit approach,managers should spend resources if the ________.

Briefly describe the list of items that managers undertake to formulate strategies.

Strategic financial management describes cost management that specifically focuses on strategic issues.

Which of the following statements about customer value is true?

________ is an after-sale support provided to customers.

Which of the following is true of planning in decision making?

The parts of the value chain associated with producing and delivering a product or service-production and distribution-are referred to as the supply chain.

Which of the following is an area that customers want to see improved levels of performance?

An Introduction to Cost Terms and Purposes

Cost-Volume-Profit Analysis

Job Costing

Activity-Based Costing and Activity-Based Management

Master Budget and Responsibility Accounting

Flexible Budgets, direct-Cost Variances, and Management Control

Flexible Budgets, overhead Cost Variances, and Management Control

Inventory Costing and Capacity Analysis

Determining How Costs Behave

Decision Making and Relevant Information

Strategy, balanced Scorecard, and Strategic Profitability Analysis

Pricing Decisions and Cost Management

Cost Allocation, customer-Profitability Analysis, and Sales-Variance Analysis

Allocation of Support-Department Costs, common Costs, and Revenues

Cost Allocation: Joint Products and Byproducts

Process Costing

Spoilage, rework, and Scrap

Balanced Scorecard: Quality and Time

Inventory Management, just-In-Time, and Simplified Costing Methods

Capital Budgeting and Cost Analysis

Management Control Systems, transfer Pricing, and Multinational Considerations

Performance Measurement, compensation, and Multinational Considerations

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