Exam 1: Managerial Accounting,the Business Organization,and Professional Ethics

A fraternity held a party.The fraternity prepared the following budget for 25 expected attendees: Room rental \1 50 Food 250 Entertainment 150 Decorations 75 Total Costs \6 25 Twenty-five people attended the party.The following costs were incurred: Room rental \ 240 Food 320 Entertainment 125 Decorations 75 Total Costs \ 760 What is the variance for total costs?

A code of conduct is a document specifying the ethical standards of an organization.

________ is (are)the accounting system's effect on the behavior and the decisions of managers.

What types of variances should be investigated when looking at performance reports?

According to the Financial Executives Institute,a function of the treasurer is ________.

According to the Statement of Ethical Professional Practice drafted by the IMA,the standard of integrity states that each member has a responsibility to ________.

A budget is a qualitative expression of a plan of action.

Accountants play a role in supporting ________ of the value-chain functions.

Most scorecard and attention-directing information is produced on a nonroutine basis.

Distribution is the function of the value chain that involves ________.

Starbucks experiments with adding ice cream sundaes to its menu at several stores in the state of Washington Financial reports are prepared showing revenues and costs for the new menu item.Based on the reports,management at the corporate office will then decide whether to permanently add or remove the new menu item.The financial reports are an example of ________ information.

A budget ________.

When does a company earn the majority of revenue for a product that goes through the product life cycle?

Why do changes in business process management affect management accounting?

Which of the following is NOT a new direction in business process management?

What is lean manufacturing?

The essence of the just-in-time philosophy is to eliminate waste.

When designing an accounting information system,the cost to acquire additional information should be incurred ________.

________ is the field that produces information used primarily by managers within an organization.

The management accountant prepares the following performance report for a company's first year of operations: Budget Actual Variance Sales \ 100,000 \ 110,000 ? Cost of Goods Sold 50,000 45,000 ? Selling Expenses 20,000 19,000 ? Administrative Expenses 10,000 11,000 ? Operating Income \ 20,000 \ 35,000 ? Required: Compute variances for each line item on the income statement. Also indicate if the variances are favorable or unfavorable.