Question 1

Warranty costs are a form of ________ costs.

Accepted Answer

A) prevention 
B) appraisal 
C) internal failure 
D) external failure 
A) prevention 
B) appraisal 
C) internal failure 
D) external failure

Question 2

Once a management control system is designed for an organization,it does not have to be altered in the future.

Accepted Answer

A) True 
 B)False

Question 3

Some management experts have said that the only sustainable competitive advantage is the rate at which a company's managers learn.

Accepted Answer

A) True 
 B)False

Question 4

The following information is available for Discounted Supplies Inc.and its two divisions,Durable Goods and Nondurable Goods.   Fixed costs controllable by
  Fixed costs not controlled by
  Variable costs:
  What is the contribution controllable by the manager of the Durable Goods Division?

Accepted Answer

A) $20,000 
B) $32,500 
C) $35,000 
D) $42,500 
A) $20,000 
B) $32,500 
C) $35,000 
D) $42,500

Question 5

Which of the following costs is NOT an appraisal cost for quality control?

Accepted Answer

A) inspection of purchased materials 
B) testing of purchased materials 
C) warranty 
D) product quality audit 
A) inspection of purchased materials 
B) testing of purchased materials 
C) warranty 
D) product quality audit

Question 6

A ________ refers to the set of activities assigned to a manager or a group of managers or other employees.

Accepted Answer

A) internal control system 
B) management control system 
C) responsibility center 
D) quality control report 
A) internal control system 
B) management control system 
C) responsibility center 
D) quality control report

Question 7

________ performance measures are often ________ indicators that arrive too late to prevent problems in organizations.

Accepted Answer

A) Nonfinancial; leading 
B) Nonfinancial; lagging 
C) Financial; leading 
D) Financial; lagging 
A) Nonfinancial; leading 
B) Nonfinancial; lagging 
C) Financial; leading 
D) Financial; lagging

Question 8

The contribution margin is especially helpful for predicting the impact on income of long-run changes in activity volume.

Accepted Answer

A) True 
 B)False

Question 9

Goal congruence exists when ________.

Accepted Answer

A) short-run goals and long-run goals are the same 
B) employees working in their own best interests make decisions that help meet the overall goals of the organization 
C) the management control system reflects the organization's goals 
D) performance reports are used constructively 
A) short-run goals and long-run goals are the same 
B) employees working in their own best interests make decisions that help meet the overall goals of the organization 
C) the management control system reflects the organization's goals 
D) performance reports are used constructively

Question 10

Responsibility accounting includes ________.

Accepted Answer

A) identifying what parts of the organization have primary responsibility for each action 
B) developing performance measures and targets 
C) designing reports of measures by responsibility center 
D) all of the above 
A) identifying what parts of the organization have primary responsibility for each action 
B) developing performance measures and targets 
C) designing reports of measures by responsibility center 
D) all of the above

Question 11

The following information is available for Discounted Supplies Inc.and its two divisions,Cheap Goods and Expensive Goods.   Fixed costs controllable by
  Fixed costs not controlled by
  Variable costs:
  What is the contribution by segment for the Expensive Goods Division?

Accepted Answer

A) $28,600 
B) $29,600 
C) $32,600 
D) $36,600 
A) $28,600 
B) $29,600 
C) $32,600 
D) $36,600

Question 12

The following information is available for Paperback Books Inc.and its two divisions,Books and Periodicals:   Fixed Costs Controllable
  Fixed Costs Not Controlled
  Variable Costs:
  What is the contribution margin for the Books Division?

Accepted Answer

A) $15,000 
B) $20,000 
C) $32,500 
D) $42,500 
A) $15,000 
B) $20,000 
C) $32,500 
D) $42,500

Question 13

The classic balanced scorecard developed by Robert Kaplan and David Norton includes four categories of key performance indicators.Which of the following items is NOT one of the categories used by Kaplan and Norton?

Accepted Answer

A) financial 
B) customers 
C) innovation and learning 
D) quality control 
A) financial 
B) customers 
C) innovation and learning 
D) quality control

Question 14

Sunrise Corporation and Sunset Corporation are movie companies.Comparative data for 20X4 and 20X5 are given below:     Assume that each 20X4 dollar is equivalent to 1.50 of each 20X5 dollar,due to inflation.Taking inflation into account,what is Sunset Corporation's 20X5 productivity measure in terms of revenue per employee?

Accepted Answer

A) $620.00 
B) $800.00 
C) $1,200.00 
D) $1,328.57 
A) $620.00 
B) $800.00 
C) $1,200.00 
D) $1,328.57

Question 15

To calculate the contribution by segment,take contribution controllable by segment managers minus ________.

Accepted Answer

A) unallocated costs 
B) variable operating expenses 
C) fixed costs controllable by others 
D) fixed costs controllable by segment managers 
A) unallocated costs 
B) variable operating expenses 
C) fixed costs controllable by others 
D) fixed costs controllable by segment managers

Question 16

Most nonprofit organizations face substantial difficulty implementing management control systems.What is the main reason?

Accepted Answer

A) The outputs of nonprofit organizations are easy to measure. 
B) The outputs of nonprofit organizations are difficult to measure. 
C) The outputs of nonprofit organizations cannot be measured. 
D) The inputs of nonprofit organizations cannot be measured. 
A) The outputs of nonprofit organizations are easy to measure. 
B) The outputs of nonprofit organizations are difficult to measure. 
C) The outputs of nonprofit organizations cannot be measured. 
D) The inputs of nonprofit organizations cannot be measured.

Question 17

The balanced scorecard focuses management attention on the ________.

Accepted Answer

A) measures of productivity 
B) measures that drive an organization to achieve its goals 
C) measures that increase cycle time 
D) measures that increase quality costs 
A) measures of productivity 
B) measures that drive an organization to achieve its goals 
C) measures that increase cycle time 
D) measures that increase quality costs

Question 18

A measure of labor productivity is sales revenue divided by the number of employees.

Accepted Answer

A) True 
 B)False

Question 19

The ________ chart is the statistical plot of measures of various product quality dimensions or attributes.

Accepted Answer

A) cycle-time 
B) productivity-control 
C) quality-control 
D) throughput-time 
A) cycle-time 
B) productivity-control 
C) quality-control 
D) throughput-time

Question 20

When preparing segmented income statements,unallocated costs include ________.

Accepted Answer

A) costs controlled by others(not segment managers) 
B) central corporate costs 
C) costs controllable by segment managers 
D) costs traced to segments 
A) costs controlled by others(not segment managers) 
B) central corporate costs 
C) costs controllable by segment managers 
D) costs traced to segments

Warranty costs are a form of ________ costs.

Once a management control system is designed for an organization,it does not have to be altered in the future.

Some management experts have said that the only sustainable competitive advantage is the rate at which a company's managers learn.

The following information is available for Discounted Supplies Inc.and its two divisions,Durable Goods and Nondurable Goods. Fixed costs controllable by Fixed costs not controlled by Variable costs: What is the contribution controllable by the manager of the Durable Goods Division?

Which of the following costs is NOT an appraisal cost for quality control?

A ________ refers to the set of activities assigned to a manager or a group of managers or other employees.

performance measures are often indicators that arrive too late to prevent problems in organizations.

The contribution margin is especially helpful for predicting the impact on income of long-run changes in activity volume.

Goal congruence exists when ________.

Responsibility accounting includes ________.

The following information is available for Discounted Supplies Inc.and its two divisions,Cheap Goods and Expensive Goods. Fixed costs controllable by Fixed costs not controlled by Variable costs: What is the contribution by segment for the Expensive Goods Division?

The following information is available for Paperback Books Inc.and its two divisions,Books and Periodicals: Fixed Costs Controllable Fixed Costs Not Controlled Variable Costs: What is the contribution margin for the Books Division?

The classic balanced scorecard developed by Robert Kaplan and David Norton includes four categories of key performance indicators.Which of the following items is NOT one of the categories used by Kaplan and Norton?

To calculate the contribution by segment,take contribution controllable by segment managers minus ________.

Most nonprofit organizations face substantial difficulty implementing management control systems.What is the main reason?

The balanced scorecard focuses management attention on the ________.

A measure of labor productivity is sales revenue divided by the number of employees.

The ________ chart is the statistical plot of measures of various product quality dimensions or attributes.

When preparing segmented income statements,unallocated costs include ________.

Managerial Accounting, the Business Organization

Introduction to Cost Behavior and Cost-Volume Relationships

Measurement of Cost Behavior

Cost Management Systems and Activity-Based Costing

Relevant Information for Decision Making With a Focus

Relevant Information for Decision Making With a Focus

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-Order 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

Warranty costs are a form of ________ costs.

Once a management control system is designed for an organization,it does not have to be altered in the future.

Some management experts have said that the only sustainable competitive advantage is the rate at which a company's managers learn.

The following information is available for Discounted Supplies Inc.and its two divisions,Durable Goods and Nondurable Goods. Fixed costs controllable by Fixed costs not controlled by Variable costs: What is the contribution controllable by the manager of the Durable Goods Division?

Which of the following costs is NOT an appraisal cost for quality control?

A ________ refers to the set of activities assigned to a manager or a group of managers or other employees.

________ performance measures are often ________ indicators that arrive too late to prevent problems in organizations.

The contribution margin is especially helpful for predicting the impact on income of long-run changes in activity volume.

Goal congruence exists when ________.

Responsibility accounting includes ________.

The following information is available for Discounted Supplies Inc.and its two divisions,Cheap Goods and Expensive Goods. Fixed costs controllable by Fixed costs not controlled by Variable costs: What is the contribution by segment for the Expensive Goods Division?

The following information is available for Paperback Books Inc.and its two divisions,Books and Periodicals: Fixed Costs Controllable Fixed Costs Not Controlled Variable Costs: What is the contribution margin for the Books Division?

The classic balanced scorecard developed by Robert Kaplan and David Norton includes four categories of key performance indicators.Which of the following items is NOT one of the categories used by Kaplan and Norton?

To calculate the contribution by segment,take contribution controllable by segment managers minus ________.

Most nonprofit organizations face substantial difficulty implementing management control systems.What is the main reason?

The balanced scorecard focuses management attention on the ________.

A measure of labor productivity is sales revenue divided by the number of employees.

The ________ chart is the statistical plot of measures of various product quality dimensions or attributes.

When preparing segmented income statements,unallocated costs include ________.

Managerial Accounting, the Business Organization

Introduction to Cost Behavior and Cost-Volume Relationships

Measurement of Cost Behavior

Cost Management Systems and Activity-Based Costing

Relevant Information for Decision Making With a Focus

Relevant Information for Decision Making With a Focus

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-Order 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

performance measures are often indicators that arrive too late to prevent problems in organizations.