Exam 15: The Changing Business Environment - a Managers Perspective

Practitioners of management accounting and financial management have a responsibility to communicate information fairly and objectively.

Services that support the primary processes in the value chain are

In analyzing nonfinancial data,it is important to link the performance measures to the four perspectives of the balanced scorecard and to the objectives that are to be achieved.

What would a company using an activity-based management approach attempt to do in regard to activities that add value to the product and those that do not?

A manager should write the purpose of a report before preparing it.

Management accounting activities

Which of the following statements is true regarding the ethical standards of management accountants?

JIT,TQM,ABM,and TOC all make a contribution to

Management accounting and financial accounting are similar in which of the following respects?

TQM can be used in

Carlson Manufacturing is a producer of plastic bottles for bottled water companies.In July of this year,the plant manager switched to a new supplier of raw materials.The materials have a lower cost,and because of their chemical composition,more bottles can be made per hour.The downside of this faster production is that more bad,unusable bottles result.Below are the production data for the two months before and after the switch of suppliers. a. Compute bad units as a percentage of total production for each month. Round answers to two decimal places. b. What does the plant manager need to consider in determining whether or not to continue buying raw material from the new supplier?

Primary processes

Performance measures are used in

The overall guideline or limit for management accounting information is that the report or analysis must be meaningful and must answer the questions or issues under review.

Identify and explain the important questions a manager must address before preparing a managerial report.(Hint: Think "w's.")

Benchmarking enables a company to determine whether it is making continuous improvement in its operations without regard to competition.

Although the purpose of the confidentiality standard is to encourage management accountants to remain loyal to their company,failure to disclose knowledge of internal illegal acts to outside authorities can result in the accountants being charged as an accessory to the crime.

The management process includes all of the following stages except

Performance measures are used only in the evaluation stage of the management process.

When there is an ethical conflict,the management accountant should resign if the immediate supervisor is involved with the conflict.