Question 1

Effective controls do not need to have the involvement from employee design.

Accepted Answer

A) True 
 B)False  False

Question 2

In a sole proprietorship,the equity portion of the balance sheet is known as ____________ equity.

Accepted Answer

A) accumulated 
B) buyers' 
C) owners' 
D) stockholders' 
A) accumulated 
B) buyers' 
C) owners' 
D) stockholders' C

Question 3

The income statement designates a specific,fixed point in time.

Accepted Answer

A) True 
 B)False  False

Question 4

Each financial activity requires specific,relevant control techniques.

Accepted Answer

A) True 
 B)False

Question 5

Fiscal years and calendar years both start on the first day of January.

Accepted Answer

A) True 
 B)False

Question 6

The operations that directly affect survival of an organization and the success of its most essential activities are known as:

Accepted Answer

A) success/failure controls. 
B) relevant time slots. 
C) performance standards. 
D) critical control points. 
A) success/failure controls. 
B) relevant time slots. 
C) performance standards. 
D) critical control points.

Question 7

Productivity is the amount of output achieved from the use of a given amount of inputs.

Accepted Answer

A) True 
 B)False

Question 8

By tracking stockage levels,managers can do the following  except:

Accepted Answer

A) determine normal usage rates. 
B) maintain minimum levels. 
C) set efficient reorder points. 
D) eliminate retail and wholesale involvement. 
A) determine normal usage rates. 
B) maintain minimum levels. 
C) set efficient reorder points. 
D) eliminate retail and wholesale involvement.

Question 9

Cash budgets are the same as capital expenditure budgets.

Accepted Answer

A) True 
 B)False

Question 10

The basic types of controls are ____________.

Accepted Answer

A) prevention,diagnostic,therapeutic 
B) feedforward,in-process,diagnostic 
C) prevention,feedback,feedforward 
D) feedforward,concurrent,feedback 
A) prevention,diagnostic,therapeutic 
B) feedforward,in-process,diagnostic 
C) prevention,feedback,feedforward 
D) feedforward,concurrent,feedback

Question 11

Assessing the investment worth of employees is called human asset accounting.

Accepted Answer

A) True 
 B)False

Question 12

Operating budgets include profit budgets.

Accepted Answer

A) True 
 B)False

Question 13

If an organization needs cash immediately to obtain new equipment,financial managers can use ____________ ratios to determine their purchasing power.

Accepted Answer

A) asset 
B) liquidity 
C) profitability 
D) debt 
A) asset 
B) liquidity 
C) profitability 
D) debt

Question 14

Any organizational unit that contributes costs,revenues,investments,or profits as part of the company's total accounting "package" is called a(n)____________.

Accepted Answer

A) equity specialist 
B) financial responsibility center 
C) controller 
D) debt awareness department 
A) equity specialist 
B) financial responsibility center 
C) controller 
D) debt awareness department

Question 15

Audits are always conducted by outsiders.

Accepted Answer

A) True 
 B)False

Question 16

Match the options below with the correct phrases:
-concurrent control

Accepted Answer

A) an area of operations that directly affects the survival of a firm and the success of its most essential activities 
B) feedforward, concurrent, and feedback controls 
C) a control that focuses on results 
D) a guideline or benchmark for measurement 
E) in-process controls (during the "event")
F)a control that prevents defects
G)the process through which standards for the performance of people and processes are applied
H)establishing performance standards, measuring performance, comparing measured performance to established standards, and taking corrective action 
A) an area of operations that directly affects the survival of a firm and the success of its most essential activities 
B) feedforward, concurrent, and feedback controls 
C) a control that focuses on results 
D) a guideline or benchmark for measurement 
E) in-process controls (during the "event")
F)a control that prevents defects
G)the process through which standards for the performance of people and processes are applied
H)establishing performance standards, measuring performance, comparing measured performance to established standards, and taking corrective action

Question 17

A financial ratio involves selecting two critical figures from a financial statement and expressing their relationship as a ratio or:

Accepted Answer

A) total. 
B) range. 
C) percentage. 
D) trend. 
A) total. 
B) range. 
C) percentage. 
D) trend.

Question 18

Match the options below with the correct phrase:
-financial ratio

Accepted Answer

A) a relationship of two numbers 
B) income - expenses = profit or loss 
C) a budget that always must be justified from "square one" 
D) a formal investigation conducted to determine if financial documents are correct and consistent with the organization's policies, rules, and procedures 
E) treats employees as assets
F)details how each financial responsibility center will manage its cash
G)provides estimates of revenues and expenses for a given period of time
H)assets = liabilities + stockholders' equity
I)each financial responsibility center's financial plan
J)an organizational unit that contributes costs, revenues, profits, or investments
K)involves selecting two critical figures from a financial statement and expressing their relationship as a ratio or percentage
L)a feedforward control technique that
M)a person responsible for planning and overseeing managment of all risks
N)a disciplined process that focuses on developing near-perfect products
O)cash flow statement
P)designed to measure and monitor specific aspects of an organization
Q)an inventory control system that matches purchasing with need 
A) a relationship of two numbers 
B) income - expenses = profit or loss 
C) a budget that always must be justified from "square one" 
D) a formal investigation conducted to determine if financial documents are correct and consistent with the organization's policies, rules, and procedures 
E) treats employees as assets
F)details how each financial responsibility center will manage its cash
G)provides estimates of revenues and expenses for a given period of time
H)assets = liabilities + stockholders' equity
I)each financial responsibility center's financial plan
J)an organizational unit that contributes costs, revenues, profits, or investments
K)involves selecting two critical figures from a financial statement and expressing their relationship as a ratio or percentage
L)a feedforward control technique that
M)a person responsible for planning and overseeing managment of all risks
N)a disciplined process that focuses on developing near-perfect products
O)cash flow statement
P)designed to measure and monitor specific aspects of an organization
Q)an inventory control system that matches purchasing with need

Question 19

Match the options below with the correct phrases:
-feedforward control

Accepted Answer

A) an area of operations that directly affects the survival of a firm and the success of its most essential activities 
B) feedforward, concurrent, and feedback controls 
C) a control that focuses on results 
D) a guideline or benchmark for measurement 
E) in-process controls (during the "event")
F)a control that prevents defects
G)the process through which standards for the performance of people and processes are applied
H)establishing performance standards, measuring performance, comparing measured performance to established standards, and taking corrective action 
A) an area of operations that directly affects the survival of a firm and the success of its most essential activities 
B) feedforward, concurrent, and feedback controls 
C) a control that focuses on results 
D) a guideline or benchmark for measurement 
E) in-process controls (during the "event")
F)a control that prevents defects
G)the process through which standards for the performance of people and processes are applied
H)establishing performance standards, measuring performance, comparing measured performance to established standards, and taking corrective action

Question 20

Controls must be controlled!

Accepted Answer

A) True 
 B)False

Effective controls do not need to have the involvement from employee design.

In a sole proprietorship,the equity portion of the balance sheet is known as ____________ equity.

The income statement designates a specific,fixed point in time.

Each financial activity requires specific,relevant control techniques.

Fiscal years and calendar years both start on the first day of January.

The operations that directly affect survival of an organization and the success of its most essential activities are known as:

Productivity is the amount of output achieved from the use of a given amount of inputs.

By tracking stockage levels,managers can do the following except:

Cash budgets are the same as capital expenditure budgets.

The basic types of controls are ____________.

Assessing the investment worth of employees is called human asset accounting.

Operating budgets include profit budgets.

If an organization needs cash immediately to obtain new equipment,financial managers can use ____________ ratios to determine their purchasing power.

Any organizational unit that contributes costs,revenues,investments,or profits as part of the company's total accounting "package" is called a(n)____________.

Audits are always conducted by outsiders.

Match the options below with the correct phrases: -concurrent control

A financial ratio involves selecting two critical figures from a financial statement and expressing their relationship as a ratio or:

Match the options below with the correct phrase: -financial ratio

Match the options below with the correct phrases: -feedforward control

Controls must be controlled!

Management: An Overview

Management Thought: Past and Present

The Managers Environment

Planning and Strategy

Managements Commitments to Quality and Productivity

Making Decisions

Organizing Principles

Organizational Design, Culture, and Change

Management Ethics and Social Responsibility

Staffing the Workforce

Communication: Interpersonal and Organizational

Human Motivation

Leadership

Team Management and Conflict

Information Management Systems

Filters

Exam 16: Control: Purpose, Process, and Techniques

Effective controls do not need to have the involvement from employee design.

In a sole proprietorship,the equity portion of the balance sheet is known as ____________ equity.

The income statement designates a specific,fixed point in time.

Each financial activity requires specific,relevant control techniques.

Fiscal years and calendar years both start on the first day of January.

The operations that directly affect survival of an organization and the success of its most essential activities are known as:

Productivity is the amount of output achieved from the use of a given amount of inputs.

By tracking stockage levels,managers can do the following except:

Cash budgets are the same as capital expenditure budgets.

The basic types of controls are ____________.

Assessing the investment worth of employees is called human asset accounting.

Operating budgets include profit budgets.

If an organization needs cash immediately to obtain new equipment,financial managers can use ____________ ratios to determine their purchasing power.

Any organizational unit that contributes costs,revenues,investments,or profits as part of the company's total accounting "package" is called a(n)____________.

Audits are always conducted by outsiders.

Match the options below with the correct phrases: -concurrent control

A financial ratio involves selecting two critical figures from a financial statement and expressing their relationship as a ratio or:

Match the options below with the correct phrase: -financial ratio

Match the options below with the correct phrases: -feedforward control

Controls must be controlled!

Management: An Overview

Management Thought: Past and Present

The Managers Environment

Planning and Strategy

Managements Commitments to Quality and Productivity

Making Decisions

Organizing Principles

Organizational Design, Culture, and Change

Management Ethics and Social Responsibility

Staffing the Workforce

Communication: Interpersonal and Organizational

Human Motivation

Leadership

Team Management and Conflict

Information Management Systems

Filters