Question 1

Three groups of elements affecting the design of a cost management system are ____________________, ____________________, and ____________________.

Accepted Answer

motivational, informational, reporting

Question 2

Which of the following statements is false concerning a management control system?

Accepted Answer

A)  A management control system may be referred to as a black box. 
B)  A management control system should serve as a guide to organizations. 
C)  A management control system should help implement strategies. 
D)  A management control system is separate from a cost management system. 
A)  A management control system may be referred to as a black box. 
B)  A management control system should serve as a guide to organizations. 
C)  A management control system should help implement strategies. 
D)  A management control system is separate from a cost management system. D

Question 3

Which of the following limits an organization's ability to minimize the "gaps" found when a gap analysis has been performed?

Accepted Answer

A)  yes yes yes 
B)  yes no yes 
C)  no yes no 
D)  no no yes 
A)  yes yes yes 
B)  yes no yes 
C)  no yes no 
D)  no no yes B

Question 4

Which of the following is not a primary component of a control system?

Accepted Answer

A)  operator 
B)  communications network 
C)  effector 
D)  assessor 
A)  operator 
B)  communications network 
C)  effector 
D)  assessor

Question 5

Cost structure is related to an organization's proportions of fixed and variable costs.

Accepted Answer

A) True 
 B)False

Question 6

Which of the following competitive strategies is least profitable?

Accepted Answer

A)  differentiation 
B)  cost leadership 
C)  confrontation 
D)  price fixing 
A)  differentiation 
B)  cost leadership 
C)  confrontation 
D)  price fixing

Question 7

What are the six primary goals of a cost management system? Illustrate how a CMS achieves each of these goals.

Accepted Answer

The six goals of a cost management syste

Question 8

An enterprise resource planning system is composed of numerous software modules.

Accepted Answer

A) True 
 B)False

Question 9

Customer satisfaction is an example of a qualitative performance measure.

Accepted Answer

A) True 
 B)False

Question 10

A measuring device that identifies what is happening in a process being controlled is referred to as a(n) ____________________.
or

Accepted Answer

The answer of A measuring device that identifies what is...

Question 11

A long-run challenge for a business is maintaining a competitive position.

Accepted Answer

A) True 
 B)False

Question 12

Which of the following would be considered a detector?

Accepted Answer

A)  computer program 
B)  source document 
C)  variance report 
D)  all of the above 
A)  computer program 
B)  source document 
C)  variance report 
D)  all of the above

Question 13

The study of the differences between a current and a proposed cost management system is referred to as _________________________.

Accepted Answer

The answer of The study of the differences between a...

Question 14

What are five ways that an organization could reduce product costs? Provide an example of how each method would cause cost reduction.

Accepted Answer

The answer could include any of the foll

Question 15

A management information system should emphasize satisfying

Accepted Answer

A)  external demands for information. 
B)  external and internal demands for information. 
C)  internal demands for information. 
D)  the Accounting Department's demands for information. 
A)  external demands for information. 
B)  external and internal demands for information. 
C)  internal demands for information. 
D)  the Accounting Department's demands for information.

Question 16

Information provided by financial reporting systems provides the most useful information to cost managers.

Accepted Answer

A) True 
 B)False

Question 17

Which of the following organizational characteristics critically affect the design of a cost management system?

Accepted Answer

A)  yes yes yes yes 
B)  yes no yes no 
C)  no yes no yes 
D)  no yes yes no 
A)  yes yes yes yes 
B)  yes no yes no 
C)  no yes no yes 
D)  no yes yes no

Question 18

In a highly regulated, monopolistic industry, such as the electrical utility or TV cable, a cost management system is

Accepted Answer

A)  of limited need because costs are typically passed along to customers via the rate structure. 
B)  essential because of the need to provide the highest degree of cost efficiency possible for customers. 
C)  critical to the needs of empowered employees making decisions at various levels of the organizational hierarchy. 
D)  of no use because there is no attempt by management to control costs. 
A)  of limited need because costs are typically passed along to customers via the rate structure. 
B)  essential because of the need to provide the highest degree of cost efficiency possible for customers. 
C)  critical to the needs of empowered employees making decisions at various levels of the organizational hierarchy. 
D)  of no use because there is no attempt by management to control costs.

Question 19

It is not necessary to be familiar with an organization's mission when designing a cost management system.

Accepted Answer

A) True 
 B)False

Question 20

Engaging in product design for manufacturability reduces

Accepted Answer

A)  yes yes yes 
B)  no yes yes 
C)  yes no yes 
D)  no no no 
A)  yes yes yes 
B)  no yes yes 
C)  yes no yes 
D)  no no no

Three groups of elements affecting the design of a cost management system are , , and .

Which of the following statements is false concerning a management control system?

Which of the following limits an organization's ability to minimize the "gaps" found when a gap analysis has been performed?

Which of the following is not a primary component of a control system?

Cost structure is related to an organization's proportions of fixed and variable costs.

Which of the following competitive strategies is least profitable?

What are the six primary goals of a cost management system? Illustrate how a CMS achieves each of these goals.

An enterprise resource planning system is composed of numerous software modules.

Customer satisfaction is an example of a qualitative performance measure.

A measuring device that identifies what is happening in a process being controlled is referred to as a(n) ____________________. or

A long-run challenge for a business is maintaining a competitive position.

Which of the following would be considered a detector?

The study of the differences between a current and a proposed cost management system is referred to as _________________________.

What are five ways that an organization could reduce product costs? Provide an example of how each method would cause cost reduction.

A management information system should emphasize satisfying

Information provided by financial reporting systems provides the most useful information to cost managers.

Which of the following organizational characteristics critically affect the design of a cost management system?

In a highly regulated, monopolistic industry, such as the electrical utility or TV cable, a cost management system is

It is not necessary to be familiar with an organization's mission when designing a cost management system.

Engaging in product design for manufacturability reduces

Introduction to Cost Accounting

Cost Terminology and Cost Behaviors

Predetermined Overhead Rates, Flexible Budgets, and Absorptionvariable Costing

Activity-Based Management and Activity-Based Costing

Job Order Costing

Process Costing

Standard Costing and Variance Analysis

The Master Budget

Break-Even Point and Cost-Volume-Profit Analysis

Relevant Information for Decision Making

Allocation of Joint Costs and Accounting for By-Products

Responsibility Accounting, Support Department Allocations, and Transfer Pricing

Performance Measurement, Balanced Scorecards, and Performance Rewards

Capital Budgeting

Managing Costs and Uncertainty

Implementing Quality Concepts

Inventory and Production Management

Emerging Management Practices

Filters

Exam 12: Introduction to Cost Management Systems

Three groups of elements affecting the design of a cost management system are ____________________, ____________________, and ____________________.

Which of the following statements is false concerning a management control system?

Which of the following limits an organization's ability to minimize the "gaps" found when a gap analysis has been performed?

Which of the following is not a primary component of a control system?

Cost structure is related to an organization's proportions of fixed and variable costs.

Which of the following competitive strategies is least profitable?

What are the six primary goals of a cost management system? Illustrate how a CMS achieves each of these goals.

An enterprise resource planning system is composed of numerous software modules.

Customer satisfaction is an example of a qualitative performance measure.

A measuring device that identifies what is happening in a process being controlled is referred to as a(n) ____________________. or

A long-run challenge for a business is maintaining a competitive position.

Which of the following would be considered a detector?

The study of the differences between a current and a proposed cost management system is referred to as _________________________.

What are five ways that an organization could reduce product costs? Provide an example of how each method would cause cost reduction.

A management information system should emphasize satisfying

Information provided by financial reporting systems provides the most useful information to cost managers.

Which of the following organizational characteristics critically affect the design of a cost management system?

In a highly regulated, monopolistic industry, such as the electrical utility or TV cable, a cost management system is

It is not necessary to be familiar with an organization's mission when designing a cost management system.

Engaging in product design for manufacturability reduces

Introduction to Cost Accounting

Cost Terminology and Cost Behaviors

Predetermined Overhead Rates, Flexible Budgets, and Absorptionvariable Costing

Activity-Based Management and Activity-Based Costing

Job Order Costing

Process Costing

Standard Costing and Variance Analysis

The Master Budget

Break-Even Point and Cost-Volume-Profit Analysis

Relevant Information for Decision Making

Allocation of Joint Costs and Accounting for By-Products

Responsibility Accounting, Support Department Allocations, and Transfer Pricing

Performance Measurement, Balanced Scorecards, and Performance Rewards

Capital Budgeting

Managing Costs and Uncertainty

Implementing Quality Concepts

Inventory and Production Management

Emerging Management Practices

Filters

Three groups of elements affecting the design of a cost management system are , , and .