Question 1

The purpose of performance measures is to set direction and to motivate managers.

Accepted Answer

A) True 
 B)False

Question 2

Managerial effort means just to work harder and faster.

Accepted Answer

A) True 
 B)False

Question 3

Displays the financial impact of quality

Accepted Answer

Cost of qu

Question 4

A logical integration of management accounting tools to gather and report data and to evaluate performance

Accepted Answer

Management

Question 5

Measures that drive the organization to achieve its goals

Accepted Answer

Key perfor

Question 6

External failure-costs include:

Accepted Answer

A) field repairs 
B) rework 
C) returns 
D) warranty expenses 
A) field repairs 
B) rework 
C) returns 
D) warranty expenses

Question 7

A well-designed management control system ignores nonfinancial objectives and focuses on financial objectives to develop and report measures of performance.

Accepted Answer

A) True 
 B)False

Question 8

To create a management control system that meets the organization's needs, designers must consider all of the following except _____.

Accepted Answer

A) existing constraints 
B) external reporting requirements 
C) internal controls 
D) costs versus benefits 
A) existing constraints 
B) external reporting requirements 
C) internal controls 
D) costs versus benefits

Question 9

When comparing productivity measures over time, changes in the process or in the rate of inflation can cause the comparison to be misleading.

Accepted Answer

A) True 
 B)False

Question 10

_____ is the effort to insure that products and services perform to customer requirements.

Accepted Answer

A) Productivity 
B) Cycle time 
C) Quality control 
D) Managerial effort 
A) Productivity 
B) Cycle time 
C) Quality control 
D) Managerial effort

Question 11

Costs with no persuasive causes and effect or activity-based justification for allocation

Accepted Answer

The answer of Costs with no persuasive causes and effect...

Question 12

The following information pertains to the Upper Division of Yoko Company: $$\begin{array} { l c } 
\text { Net Sales } & \$ 21,000 \
\text { Variable costs: } & \
\text { Cost of merchandise sold } & 7,200 \
\text { Operating expenses } & 2,700 \
\text { Fixed costs: } & \
\text { Controllable by segment manager } & 2,400 \
\text { Controllable by others } & 1,000 \
\text { Unallocated costs } & 7,600
\end{array}$$ The contribution by segment is _____.

Accepted Answer

A) $7,100 
B) $7,700 
C) $11,100 
D) $8,700 
A) $7,100 
B) $7,700 
C) $11,100 
D) $8,700

Question 13

A responsibility center in which managers are responsible for costs only

Accepted Answer

The answer of A responsibility center in which managers are...

Question 14

Goal congruence exists when _____.

Accepted Answer

A) short-run goals reflect long-run goals 
B) individuals and groups aim at the same organizational goals 
C) the budget reflects the organization's goals 
D) performance reports are used constructively 
A) short-run goals reflect long-run goals 
B) individuals and groups aim at the same organizational goals 
C) the budget reflects the organization's goals 
D) performance reports are used constructively

Question 15

_____ is not a measure of organizational learning.

Accepted Answer

A) Training time 
B) Employee turnover 
C) Staff satisfaction 
D) Management performance 
A) Training time 
B) Employee turnover 
C) Staff satisfaction 
D) Management performance

Question 16

A management control system must _____ to achieve maximum benefits at minimum cost.

Accepted Answer

A) look at the short term only 
B) motivate managers with quarterly bonuses based on performance 
C) foster goal congruence and managerial effort 
D) be the same as the financial accounting system 
A) look at the short term only 
B) motivate managers with quarterly bonuses based on performance 
C) foster goal congruence and managerial effort 
D) be the same as the financial accounting system

Question 17

Nonfinancial measures include profit targets and required return on investment.

Accepted Answer

A) True 
 B)False

Question 18

The shorter a product or service is in process, the more costs it consumes.

Accepted Answer

A) True 
 B)False

Question 19

Measures of performance should not be consistent with organizational goals.

Accepted Answer

A) True 
 B)False

Question 20

This component of a management control system affects every other component

Accepted Answer

Feedback a

The purpose of performance measures is to set direction and to motivate managers.

Managerial effort means just to work harder and faster.

Displays the financial impact of quality

A logical integration of management accounting tools to gather and report data and to evaluate performance

Measures that drive the organization to achieve its goals

External failure-costs include:

A well-designed management control system ignores nonfinancial objectives and focuses on financial objectives to develop and report measures of performance.

To create a management control system that meets the organization's needs, designers must consider all of the following except _____.

When comparing productivity measures over time, changes in the process or in the rate of inflation can cause the comparison to be misleading.

_____ is the effort to insure that products and services perform to customer requirements.

Costs with no persuasive causes and effect or activity-based justification for allocation

A responsibility center in which managers are responsible for costs only

Goal congruence exists when _____.

_____ is not a measure of organizational learning.

A management control system must _____ to achieve maximum benefits at minimum cost.

Nonfinancial measures include profit targets and required return on investment.

The shorter a product or service is in process, the more costs it consumes.

Measures of performance should not be consistent with organizational goals.

This component of a management control system affects every other component

Managerial Accounting, the Business Organization, and Professional Ethics

Introduction to Cost Behavior and Cost-Volume Relationships

Measurement of Cost Behavior

Cost Management Systems and an Introduction to Activity-Based Costing

Relevant Information and Decision Making With a Focus on Pricing Decisions

Relevant Information and Decision Making: Operational Decisions

Introduction to Budgets and Preparing the Master Budget

Flexible Budgets and Variance Analysis

Management Control in Decentralized Organizations

Capital Budgeting

Cost Allocation

Accounting for Overhead Costs

Job-Costing and Process-Costing Systems

Basic Accounting: Concepts, Techniques, and Conventions

Understanding Corporate Annual Reports: Basic Financial Statements

Understanding and Analyzing Consolidated Financial Statements

Filters

Exam 9: Management Control Systems and Responsibility Accounting

The purpose of performance measures is to set direction and to motivate managers.

Managerial effort means just to work harder and faster.

Displays the financial impact of quality

A logical integration of management accounting tools to gather and report data and to evaluate performance

Measures that drive the organization to achieve its goals

External failure-costs include:

A well-designed management control system ignores nonfinancial objectives and focuses on financial objectives to develop and report measures of performance.

To create a management control system that meets the organization's needs, designers must consider all of the following except _____.

When comparing productivity measures over time, changes in the process or in the rate of inflation can cause the comparison to be misleading.

_____ is the effort to insure that products and services perform to customer requirements.

Costs with no persuasive causes and effect or activity-based justification for allocation

A responsibility center in which managers are responsible for costs only

Goal congruence exists when _____.

_____ is not a measure of organizational learning.

A management control system must _____ to achieve maximum benefits at minimum cost.

Nonfinancial measures include profit targets and required return on investment.

The shorter a product or service is in process, the more costs it consumes.

Measures of performance should not be consistent with organizational goals.

This component of a management control system affects every other component

Managerial Accounting, the Business Organization, and Professional Ethics

Introduction to Cost Behavior and Cost-Volume Relationships

Measurement of Cost Behavior

Cost Management Systems and an Introduction to Activity-Based Costing

Relevant Information and Decision Making With a Focus on Pricing Decisions

Relevant Information and Decision Making: Operational Decisions

Introduction to Budgets and Preparing the Master Budget

Flexible Budgets and Variance Analysis

Management Control in Decentralized Organizations

Capital Budgeting

Cost Allocation

Accounting for Overhead Costs

Job-Costing and Process-Costing Systems

Basic Accounting: Concepts, Techniques, and Conventions

Understanding Corporate Annual Reports: Basic Financial Statements

Understanding and Analyzing Consolidated Financial Statements

Filters