Exam 1: Introduction to Managerial Accounting

The belief that each member of a group bears no responsibility for the well-being of other members is a common principle underlying all ethical systems.

_________ is a crucial element in all phases of the value chain.

Only a _________________________ is permitted to serve as an external auditor.

The detailed formulation of action to achieve a particular end is the management activity called:

__________________________ organizes costs according to the value chain and collects both financial and nonfinancial information.

Accountants that have a Certificate in Public Accounting (CPA):

A __________________________ has passed a comprehensive examination designed to ensure technical competence and has two years of experience.

Financial accounting is governed by GAAP.

The purpose of the Certificate in Public Accounting is to provide minimal professional qualification for external auditors.

Which of the following members of an organization would normally hold a line position?

Management accounting information is only used by manufacturing organizations.

The ____________________ is responsible for the finance function.

Which of the following members of an organization would normally hold a staff position?

A cost accountant would normally occupy a staff position within an organization.

The managerial activity of monitoring a plan's implementation and taking corrective action as needed is referred to as decision making.

In June 2002, Congress passed the________________________ in response to financial scandals such as Enron.

The process of choosing among competing alternatives is called ________________________.

Which of the following statements is true of financial accounting?

The standards of ethical conduct for managerial accountants include:

Which of the following is true of total quality management?