Exam 15: The Changing Business Environment - a Managers Perspective

If a management accountant confides to a relative that his or her company has a confidential plan to merge with another company in the near future,the accountant has

The ethical standards for management accountants state that accountants are obligated to maintain professional competence at all times when dealing with

Activity-based costing traces costs to a company's activities related to

The Assembly Department of KEIA employs three direct laborers and two supervisory personnel.For the past several months,the employees have been assembling desks from pieces prepared in the Cutting Department.Three desks are expected to be produced for every labor hour incurred in the department.The hours worked in April,May,and June appear below. Actual production of desks for April was 2,501; May,2,532; and June,2,601. a. Calculate the number of desks expected to be produced each month. b. By what percentage did production fall short of expectations each month? c. Comment on your calculations, and recommend what actions should be taken by the plant manager.

Similar to financial accounting reports,management accounting reports are standardized in format.

JIT,TQM,ABM,and TOC all make a contribution to continuous improvement and are applicable in service businesses as well as in manufacturing and retail businesses.

If a management accountant gives information about a future merger of his or her company to a relative,the accountant has acted unethically.

Total quality management focuses on reducing waste.

Assume your club makes and sells boxes of chocolate every year as a fundraising project for Valentine's Day.As the current director of projects,you are interested in improving the quality of the service and the product your club offers.You have just learned about continuous improvement.Discuss how your club could use JIT,TQM,and ABM to achieve improved quality.

Planning involves which of the following?

Management accountants who alter reports to meet targeted levels of performance are not acting unethically,because their job is to provide information that will aid in communicating the goals of the business.

Accumulating,interpreting,and reporting financial information is important for

The objectivity standards of management accountants state that management accountants must communicate information fairly and objectively.This means essentially that accountants must perform each task

The balanced scorecard has gained little acceptance as an approach to establish effective performance measurement.

Management accounting exists primarily for the benefit of people outside the company.

Financial accounting is concerned primarily with planning and control of internal operations.

Management accounting must observe both financial accounting standards and cost accounting standards if it is to be useful to the organization's management.

Which of the following would be used to measure the performance of a segment in a profit-generating company?

Performance measures are limited to financial data.

If a report is urgently needed,some accuracy may have to be sacrificed in the interest of timeliness.