Question 1

The text identifies six ways to classify the major differences between Management and Financial Accounting.The statement "Past oriented (reports on 2011 performance prepared in 2012)" 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

Control includes deciding what feedback to provide that will help with future decision making.

Accepted Answer

A) True 
 B)False

Question 3

Which of the following would likely constitute a breach of ethics for a management accountant?

Accepted Answer

A) to omit pertinent information from a report because it is personally unfavourable 
B) to consider disclosing confidential information in order to further your own career 
C) to consider disclosing confidential information (ie gained from a third party)in order to assist your employer/client 
D) to report the unethical actions of another party,with the expectation that this will further your own career 
E) to be disruptive in a meeting

Question 4

Key success factors such as quality,time,and the provision of innovative products and services,must be executed well to achieve corporate performance.

Accepted Answer

A) True 
 B)False

Question 5

Cost accounting provides information for both management and financial accounting.

Accepted Answer

A) True 
 B)False

Question 6

Planning is choosing goals,predicting results under various alternative ways of achieving those goals,and then deciding how to attain the desired goals.

Accepted Answer

A) True 
 B)False

Question 7

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 8

Which of the following elements is contained within the Implement the Decision,Evaluate Performance,and Learn category in the Five-Step Decision-Making Process?

Accepted Answer

A) Identify the problem and uncertainties. 
B) Obtain information. 
C) Make predictions about the future. 
D) Provide feedback. 
E) Make decisions by choosing among alternatives.

Question 9

Place the five steps in the decision-making process in the correct order:
A = Obtain information
B = Decide on and implement one of the alternatives
C = Identify the problem and uncertainties
D = Implement the decision,evaluate performance,and learn
E = Make predictions about the future

Accepted Answer

A) D,B,E,A,C 
B) E,D,A,B,C 
C) C,A,E,B,D 
D) A,E,B,D,C 
E) A,C,B,D,E

Question 10

Which of the following is TRUE concerning the value chain of business functions?

Accepted Answer

A) Managers should always proceed sequentially through the value chain,since distribution,for example,cannot occur before production is completed. 
B) Senior managers from individual parts of the value chain do not have a responsibility in deciding on the organization's overall strategy. 
C) An organization can only realize gains from having individual parts of the value chain work sequentially. 
D) The value chain refers to the value added to the customer from marketing. 
E) Senior managers from individual parts of the value chain have a responsibility in deciding how resources are to be obtained and used,and how rewards are to be given.

Question 11

Key success factors include time management.

Accepted Answer

A) True 
 B)False

Question 12

Companies with a strategy of low prices compete on their ability to offer unique new products or services that are priced higher than their competition.

Accepted Answer

A) True 
 B)False

Question 13

The ________ is also called the chief financial officer.

Accepted Answer

A) controller 
B) finance director 
C) internal auditor 
D) treasurer 
E) chief executive

Question 14

A cost concept used for external reporting purposes may not be appropriate for internal,routine reporting to managers.

Accepted Answer

A) True 
 B)False

Question 15

The purpose of the TBL approach is draw management's focus

Accepted Answer

A) primarily to financial prosperity but also people and products. 
B) to environmental sustainability,economic prosperity,and social networking. 
C) to financial prosperity,but also to areas of environmental stewardship and protection,as well as adhering to the laws of the jurisdictions in which the company operates. 
D) to profit,people,and planet. 
E) to what is important to shareholders.

Question 16

What aspect of business analysis focuses on the sequence of business functions?

Accepted Answer

A) customer service 
B) value chain 
C) quality 
D) research and development 
E) product design

Question 17

Cyclone Car Company tries to assign appropriate responsibilities to all of its managers.Production managers receive reports which accumulate information of the shop operations for each plant.Plant operations are further aggregated in the report received by the vice president of manufacturing.These reports show the budgeted and actual operating results for the current month and year-to-date.These,along with inventory status reports,provide the major source of production information for the next planning period.Managers evaluate the variances between actual and budgeted amounts and determine whether operations are in or out of control.If variances are large,appropriate action is taken,i.e. ,the plans are changed.
The company's profits have been decreasing,and management has requested similar aggregate sales data from marketing.It is felt that this added information will suffice for its decision-making needs.
Required:
Do you agree? Why? Do you foresee any needs that will not be met by this information? If so,what additional information do you suggest that management be provided by the management accounting system?

Accepted Answer

The answer of Cyclone Car Company tries to assign appropriate...

Question 18

Line management is directly responsible for attaining the goals of the organization.

Accepted Answer

A) True 
 B)False

Question 19

Control includes the performance evaluation of personnel and operations.

Accepted Answer

A) True 
 B)False

Question 20

The person(s)responsible for providing advice and assistance to line managers is/are

Accepted Answer

A) the controller. 
B) the chief financial officer. 
C) staff management. 
D) the treasurer. 
E) the president.

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 "Past oriented (reports on 2011 performance prepared in 2012) " is an example of which of the following classes?

Control includes deciding what feedback to provide that will help with future decision making.

Which of the following would likely constitute a breach of ethics for a management accountant?

Key success factors such as quality,time,and the provision of innovative products and services,must be executed well to achieve corporate performance.

Cost accounting provides information for both management and financial accounting.

Planning is choosing goals,predicting results under various alternative ways of achieving those goals,and then deciding how to attain the desired goals.

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?

Which of the following elements is contained within the Implement the Decision,Evaluate Performance,and Learn category in the Five-Step Decision-Making Process?

Place the five steps in the decision-making process in the correct order: A = Obtain information B = Decide on and implement one of the alternatives C = Identify the problem and uncertainties D = Implement the decision,evaluate performance,and learn E = Make predictions about the future

Which of the following is TRUE concerning the value chain of business functions?

Key success factors include time management.

Companies with a strategy of low prices compete on their ability to offer unique new products or services that are priced higher than their competition.

The ________ is also called the chief financial officer.

A cost concept used for external reporting purposes may not be appropriate for internal,routine reporting to managers.

The purpose of the TBL approach is draw management's focus

What aspect of business analysis focuses on the sequence of business functions?

Line management is directly responsible for attaining the goals of the organization.

Control includes the performance evaluation of personnel and operations.

The person(s) responsible for providing advice and assistance to line managers is/are