Question 1

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

Question 2

The approaches and activities of managers in short-run and long-run planning and control decisions that increase value for customers and lower costs of products and services are known as

Accepted Answer

A)  value chain management. 
B)  enterprise resource planning. 
C)  cost management. 
D)  customer value management. 
E)  management information system.

Question 3

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 4

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

Accepted Answer

A) True 
 B)False

Question 5

The person(s) directly responsible for the attainment of organizational objectives is/are

Accepted Answer

A)  staff management. 
B)  line management. 
C)  both staff and line management. 
D)  the chief financial officer. 
E)  the internal auditor.

Question 6

An Enterprise Resource Planning System can best be described as

Accepted Answer

A)  a collection of programs that use a variety of unconnected databases. 
B)  a single database that collects data and feeds it into applications that support each of the company's business activities, such as purchases, production, distribution, and sales. 
C)  a database that is primarily used by a purchasing department to determine the correct amount of a particular supply item to purchase. 
D)  a sophisticated means of linking two or more companies to facilitate their planning processes. 
E)  exception reporting system for plant managers.

Question 7

Management accounting

Accepted Answer

A)  helps creditors evaluate the company's performance. 
B)  helps managers make decisions. 
C)  is useful for external and internal users. 
D)  creates technical reports that require external audit for verification. 
E)  is the same as cost accounting.

Question 8

The text identifies six ways to classify the major differences between Management and Financial Accounting. The "managers of the organization" is an example of which of the following classes of differences?

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

Question 9

In the value chain, Research and Development is the detailed planning and engineering of products, services, or processes.

Accepted Answer

A) True 
 B)False

Question 10

Measuring and evaluating performance, and providing feedback are aspects of

Accepted Answer

A)  scorekeeping. 
B)  information gathering. 
C)  problem identification. 
D)  record keeping. 
E)  control.

Question 11

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. Assume you are opening a small food outlet across the street from your campus. How might that business be operated under each of the two broad strategies? Consider the following specific operational areas:
a. target customers
b. products offered
c. product pricing
d. location choice
e. advertising content
f. advertising media

Accepted Answer

The answer of Generally, companies follow one of two broad...

Question 12

Professional ethics for a Certified Management Accountant in Canada were established by

Accepted Answer

A)  the CICA. 
B)  the FASB. 
C)  the CIMA. 
D)  the CGAC. 
E)  the SMAC.

Question 13

A company may employ CMAs and other persons who are required to meet certain standards of professional conduct due to their membership in relevant professional organizations. These standards of conduct often include the areas of responsibility, competence, fairness and independence. However, holding only a few people responsible for sound professional conduct does not make a company behave ethically.
Required:
What can a company do to increase the likelihood of its employees being ethical in all their undertakings?

Accepted Answer

The answer of A company may employ CMAs and other...

Question 14

Learning arises from comparing actual performance to expected performance.

Accepted Answer

A) True 
 B)False

Question 15

For each type of report listed below, identify one planning decision and one control decision for which the information would be helpful.
Item:
a. annual financial statements for the past three years
b. report detailing sales by department by each hour of the day for the past week
c. special study regarding increased road traffic due to the construction of a new shopping mall at a nearby intersection

Accepted Answer

The answer of For each type of report listed below,...

Question 16

The value chain includes the following functions: research and development; design of products, services, or processes; production; marketing; distribution; customer service; and management satisfaction.

Accepted Answer

A) True 
 B)False

Question 17

Customers are demanding that companies use the value chain and supply chain to deliver ever-improving levels of performance regarding key success factors. Briefly describe each of the following key success factors: cost and efficiency; quality; time; innovation. For each key success factor give an example an activity that relates to that factor; and, the effect of that activity on the value chain.

Accepted Answer

The answer of Customers are demanding that companies use the...

Question 18

Cost accounting provides information for both management and financial accounting.

Accepted Answer

A) True 
 B)False

Question 19

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

Accepted Answer

A) True 
 B)False

Question 20

"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.

Exam 1: The Accountants Vital Role in Decision Making

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?

The approaches and activities of managers in short-run and long-run planning and control decisions that increase value for customers and lower costs of products and services are known as

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

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

The person(s) directly responsible for the attainment of organizational objectives is/are

An Enterprise Resource Planning System can best be described as

Management accounting

The text identifies six ways to classify the major differences between Management and Financial Accounting. The "managers of the organization" is an example of which of the following classes of differences?

In the value chain, Research and Development is the detailed planning and engineering of products, services, or processes.

Measuring and evaluating performance, and providing feedback are aspects of

Professional ethics for a Certified Management Accountant in Canada were established by

Learning arises from comparing actual performance to expected performance.

The value chain includes the following functions: research and development; design of products, services, or processes; production; marketing; distribution; customer service; and management satisfaction.

Cost accounting provides information for both management and financial accounting.

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

"Cost management" describes