Question 1

________ are a company's decision makers.

Accepted Answer

A) Shareholders 
B) Managers 
C) Customers 
D) Creditors 
A) Shareholders 
B) Managers 
C) Customers 
D) Creditors

Question 2

Which of the following positions typically manages the daily operations of a company?

Accepted Answer

A) The controller 
B) The CEO 
C) The board of directors 
D) The stockholders 
A) The controller 
B) The CEO 
C) The board of directors 
D) The stockholders

Question 3

Evaluating results against the plan is an example of which of the following management functions?

Accepted Answer

A) Planning 
B) Controlling 
C) Analyzing 
D) Directing 
A) Planning 
B) Controlling 
C) Analyzing 
D) Directing

Question 4

Which of the following is not one of the IMA's overarching ethical principles?

Accepted Answer

A) Fairness 
B) Responsibility 
C) Honesty 
D) Creativity 
A) Fairness 
B) Responsibility 
C) Honesty 
D) Creativity

Question 5

The managerial accountant at Strategic Group Consulting reported the following information about the sales budget for the period ending December 31,20XX:  
Observe the Sales Budget and determine which primary responsibility the managerial accountant uses to
Determine which quarter generated the most per-unit product sales data in order to adjust the marketing strategy?

Accepted Answer

A) Planning 
B) Controlling 
C) Directing 
D) Analyzing 
E) Eliminating 
A) Planning 
B) Controlling 
C) Directing 
D) Analyzing 
E) Eliminating

Question 6

The IMA suggests that members discuss ethical dilemmas with the company's board of directors.

Accepted Answer

A) True 
 B)False

Question 7

Torque Engine Company is considering opening a plant in China.It will cost $3,500,000 to set up the plant and $750,000 to train employees.An additional $100,000 will be spent to build relationships with the local suppliers.The company anticipates gross profit of $4,400,000 from this new plant.Do the benefits outweigh the costs or do the costs outweigh the benefits,and by how much?

Accepted Answer

A) Costs outweigh benefits by $150,000. 
B) Benefits outweigh costs by $150,000. 
C) Costs outweigh benefits by $50,000. 
D) Benefits outweigh costs by $50,000. 
A) Costs outweigh benefits by $150,000. 
B) Benefits outweigh costs by $150,000. 
C) Costs outweigh benefits by $50,000. 
D) Benefits outweigh costs by $50,000.

Question 8

A company's audit committee meets

Accepted Answer

A) quarterly. 
B) periodically,as needs dictate. 
C) monthly. 
D) annually. 
A) quarterly. 
B) periodically,as needs dictate. 
C) monthly. 
D) annually.

Question 9

All of the following are overarching principles in the IMA Statement of Ethical Professional Practice except

Accepted Answer

A) responsibility. 
B) objectivity. 
C) integrity. 
D) fairness. 
A) responsibility. 
B) objectivity. 
C) integrity. 
D) fairness.

Question 10

Managerial accountants may be responsible for

Accepted Answer

A) providing decision support. 
B) communicating results. 
C) analyzing data. 
D) All of the above. 
A) providing decision support. 
B) communicating results. 
C) analyzing data. 
D) All of the above.

Question 11

Evaluating operations by comparing actual results to budgeted results is a part of the controlling responsibility of management.

Accepted Answer

A) True 
 B)False

Question 12

The IMA issues the CMA designation.

Accepted Answer

A) True 
 B)False

Question 13

When management uses feedback to take corrective action on the budgets,which of the following management responsibilities are being fulfilled?

Accepted Answer

A) Controlling 
B) Adjusting 
C) Directing 
D) Planning 
A) Controlling 
B) Adjusting 
C) Directing 
D) Planning

Question 14

The only skill required of managerial accountants is that they have a solid knowledge of both financial and managerial accounting.

Accepted Answer

A) True 
 B)False

Question 15

In recent years,there has been an increasing awareness and growing interest in ________ and social responsibility by both consumers and corporations.

Accepted Answer

A) the bottom line. 
B) total quality management. 
C) sustainability. 
D) just-in-time. 
A) the bottom line. 
B) total quality management. 
C) sustainability. 
D) just-in-time.

Question 16

An external party receives information about past performance from

Accepted Answer

A) planning reports. 
B) budget reports. 
C) financial statements. 
D) internal managerial accounting reports. 
A) planning reports. 
B) budget reports. 
C) financial statements. 
D) internal managerial accounting reports.

Question 17

Managerial accounting develops reports that help internal parties effectively and efficiently run the company.

Accepted Answer

A) True 
 B)False

Question 18

Managerial accounting would use which of the following types of information?

Accepted Answer

A) Forecasts of future earnings 
B) Financial information 
C) Nonfinancial information 
D) All of the above 
A) Forecasts of future earnings 
B) Financial information 
C) Nonfinancial information 
D) All of the above

Question 19

The purpose of managerial accounting is to gather,summarize,and report the cost and revenue data relevant to each decision that is made.

Accepted Answer

A) True 
 B)False

Question 20

The COO is responsible for managing which of the following aspect(s)of the company?

Accepted Answer

A) The annual audit 
B) Internal controls 
C) Research and development (R&
D) ,production,and distribution 
D) Financial accounting,managerial accounting,and tax accounting 
A) The annual audit 
B) Internal controls 
C) Research and development (R&
D) ,production,and distribution 
D) Financial accounting,managerial accounting,and tax accounting

________ are a company's decision makers.

Which of the following positions typically manages the daily operations of a company?

Evaluating results against the plan is an example of which of the following management functions?

Which of the following is not one of the IMA's overarching ethical principles?

The IMA suggests that members discuss ethical dilemmas with the company's board of directors.

A company's audit committee meets

All of the following are overarching principles in the IMA Statement of Ethical Professional Practice except

Managerial accountants may be responsible for

Evaluating operations by comparing actual results to budgeted results is a part of the controlling responsibility of management.

The IMA issues the CMA designation.

When management uses feedback to take corrective action on the budgets,which of the following management responsibilities are being fulfilled?

The only skill required of managerial accountants is that they have a solid knowledge of both financial and managerial accounting.

In recent years,there has been an increasing awareness and growing interest in ________ and social responsibility by both consumers and corporations.

An external party receives information about past performance from

Managerial accounting develops reports that help internal parties effectively and efficiently run the company.

Managerial accounting would use which of the following types of information?

The purpose of managerial accounting is to gather,summarize,and report the cost and revenue data relevant to each decision that is made.

The COO is responsible for managing which of the following aspect(s)of the company?

Building Blocks of Managerial Accounting

Job Costing

Activity-Based Costing, lean Operations, and the Costs of Quality

Process Costing

Cost Behavior

Cost-Volume-Profit Analysis

Relevant Costs for Short-Term Decisions

The Master Budget

Performance Evaluation

Standard Costs and Variances

Capital Investment Decisions and the Time Value of Money

Statement of Cash Flows

Financial Statement Analysis

Sustainability

Filters

Exam 1: Introduction to Managerial Accounting

________ are a company's decision makers.

Which of the following positions typically manages the daily operations of a company?

Evaluating results against the plan is an example of which of the following management functions?

Which of the following is not one of the IMA's overarching ethical principles?

The IMA suggests that members discuss ethical dilemmas with the company's board of directors.

A company's audit committee meets

All of the following are overarching principles in the IMA Statement of Ethical Professional Practice except

Managerial accountants may be responsible for

Evaluating operations by comparing actual results to budgeted results is a part of the controlling responsibility of management.

The IMA issues the CMA designation.

When management uses feedback to take corrective action on the budgets,which of the following management responsibilities are being fulfilled?

The only skill required of managerial accountants is that they have a solid knowledge of both financial and managerial accounting.

In recent years,there has been an increasing awareness and growing interest in ________ and social responsibility by both consumers and corporations.

An external party receives information about past performance from

Managerial accounting develops reports that help internal parties effectively and efficiently run the company.

Managerial accounting would use which of the following types of information?

The purpose of managerial accounting is to gather,summarize,and report the cost and revenue data relevant to each decision that is made.

The COO is responsible for managing which of the following aspect(s)of the company?

Building Blocks of Managerial Accounting

Job Costing

Activity-Based Costing, lean Operations, and the Costs of Quality

Process Costing

Cost Behavior

Cost-Volume-Profit Analysis

Relevant Costs for Short-Term Decisions

The Master Budget

Performance Evaluation

Standard Costs and Variances

Capital Investment Decisions and the Time Value of Money

Statement of Cash Flows

Financial Statement Analysis

Sustainability

Filters