Question 1

Virtually all managerial accounting practices were developed to assist managers in maximizing profits.

Accepted Answer

A) True 
 B)False

Question 2

The four emphasized areas of the CMA examination reflect the needs of managerial accounting and highlights that managerial accounting has more of an interdisciplinary flavor than other areas of accounting.

Accepted Answer

A) True 
 B)False

Question 3

Activity-based costing is a less detailed approach to determining the cost of goods and services than traditional cost accounting.

Accepted Answer

A) True 
 B)False

Question 4

Managerial accounting information is not important for not-for-profit organizations.

Accepted Answer

A) True 
 B)False

Question 5

The process of choosing among competing alternatives is decision making.

Accepted Answer

A) True 
 B)False

Question 6

Which of the following would occupy a line position in a hospital?

Accepted Answer

A)  manager of the cafeteria 
B)  hospital administrator 
C)  chief of surgery 
D)  none of these 
A)  manager of the cafeteria 
B)  hospital administrator 
C)  chief of surgery 
D)  none of these

Question 7

The controller of an organization participates in

Accepted Answer

A)  planning. 
B)  controlling. 
C)  decision making. 
D)  all of these are correct 
A)  planning. 
B)  controlling. 
C)  decision making. 
D)  all of these are correct

Question 8

Managerial accounting has its emphasis on the future.

Accepted Answer

A) True 
 B)False

Question 9

Positions that have direct responsibility for the basic objectives of an organization are referred to as line positions.

Accepted Answer

A) True 
 B)False

Question 10

Which of the following would not be an example of a value-added activity?

Accepted Answer

A)  timely delivery of products 
B)  offering the customer a variety of products 
C)  storage of finished products 
D)  excellent customer service 
A)  timely delivery of products 
B)  offering the customer a variety of products 
C)  storage of finished products 
D)  excellent customer service

Question 11

Which of the following areas is not emphasized by the Certified Management Accountant (CMA) examination?

Accepted Answer

A)  External auditing and business law 
B)  Management reporting, analysis, and behavioral issues 
C)  Decision analysis and information systems 
D)  Economics, finance, and management
​ 
A)  External auditing and business law 
B)  Management reporting, analysis, and behavioral issues 
C)  Decision analysis and information systems 
D)  Economics, finance, and management
​

Question 12

Which of the following is true of profit maximization?

Accepted Answer

A)  Profit maximization is achieved by considering the financial measures focused on only efficiency. 
B)  Profit maximization is an objective of financial accounting but not managerial accounting. 
C)  Profit maximization should be achieved through legal and ethical means. 
D)  Profit maximization results in maximum cost to and maximum production by a company. 
A)  Profit maximization is achieved by considering the financial measures focused on only efficiency. 
B)  Profit maximization is an objective of financial accounting but not managerial accounting. 
C)  Profit maximization should be achieved through legal and ethical means. 
D)  Profit maximization results in maximum cost to and maximum production by a company.

Question 13

To promote ethical behavior by managers and employees, organizations commonly establish a__________________________.

Accepted Answer

The answer of To promote ethical behavior by managers and...

Question 14

________________________ involves choosing actions that are right, proper, and just.

Accepted Answer

The answer of ________________________ involves choosing actions that are right,...

Question 15

______________________________ is the provision of accounting information for a company's internal users.

Accepted Answer

Managerial

Question 16

Time is not a crucial element in all phases of the value chain.

Accepted Answer

A) True 
 B)False

Question 17

Which of the following is an example of the management activity referred to as planning?

Accepted Answer

A)  Developing a strategy for disposing of hazardous waste 
B)  Tracking the cost of employee absence 
C)  Ensuring that the most competent candidates are recruited by a company 
D)  All of these are correct. 
A)  Developing a strategy for disposing of hazardous waste 
B)  Tracking the cost of employee absence 
C)  Ensuring that the most competent candidates are recruited by a company 
D)  All of these are correct.

Question 18

Which of the following is not an objective of managerial accounting?

Accepted Answer

A)  To produce information for external users, including investors, creditors, customers, suppliers, and government agencies 
B)  To provide information for planning an organization's action 
C)  To provide information for evaluating and continuously improving an organization's actions 
D)  To provide information for effective decision making by the management of a company 
A)  To produce information for external users, including investors, creditors, customers, suppliers, and government agencies 
B)  To provide information for planning an organization's action 
C)  To provide information for evaluating and continuously improving an organization's actions 
D)  To provide information for effective decision making by the management of a company

Question 19

Managerial accounting reports are prepared:

Accepted Answer

A)  to provide creditors with information useful in making credit decisions. 
B)  to meet the needs of decision makers within the firm. 
C)  to present historical information. 
D)  all of these are correct. 
A)  to provide creditors with information useful in making credit decisions. 
B)  to meet the needs of decision makers within the firm. 
C)  to present historical information. 
D)  all of these are correct.

Question 20

The value chain is the set of activities required to design, develop, produce, market, and deliver products and service to customers.

Accepted Answer

A) True 
 B)False

Virtually all managerial accounting practices were developed to assist managers in maximizing profits.

The four emphasized areas of the CMA examination reflect the needs of managerial accounting and highlights that managerial accounting has more of an interdisciplinary flavor than other areas of accounting.

Activity-based costing is a less detailed approach to determining the cost of goods and services than traditional cost accounting.

Managerial accounting information is not important for not-for-profit organizations.

The process of choosing among competing alternatives is decision making.

Which of the following would occupy a line position in a hospital?

The controller of an organization participates in

Managerial accounting has its emphasis on the future.

Positions that have direct responsibility for the basic objectives of an organization are referred to as line positions.

Which of the following would not be an example of a value-added activity?

Which of the following areas is not emphasized by the Certified Management Accountant (CMA) examination?

Which of the following is true of profit maximization?

To promote ethical behavior by managers and employees, organizations commonly establish a__________________________.

________________________ involves choosing actions that are right, proper, and just.

______________________________ is the provision of accounting information for a company's internal users.

Time is not a crucial element in all phases of the value chain.

Which of the following is an example of the management activity referred to as planning?

Which of the following is not an objective of managerial accounting?

Managerial accounting reports are prepared:

The value chain is the set of activities required to design, develop, produce, market, and deliver products and service to customers.

Basic Managerial Accounting Concepts

Cost Behavior, Cost Forecasting, and Segmented Income Statements

Job-Order Costing and Normal Cost Overhead Application

Activity-Based Costing and Management

Process Costing

Cost-Volume-Profit Analysis

Tactical Decision-Making and Relevant Costing

Profit Planning and Flexible Budgets

Standard Costing and Variance Analysis

Performance Evaluation and Decentralization

Capital Investment Decisions

Emerging Topics in Managerial Accounting: Sustainability, Quality Cost, Lean Accounting, International Issues, Enterprise Risk Management, the Managerial Accountant in Forensicfraud Accounting

Statement of Cash Flows

Financial Statement Analysis

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Exam 1: Introduction to Managerial Accounting

Virtually all managerial accounting practices were developed to assist managers in maximizing profits.

The four emphasized areas of the CMA examination reflect the needs of managerial accounting and highlights that managerial accounting has more of an interdisciplinary flavor than other areas of accounting.

Activity-based costing is a less detailed approach to determining the cost of goods and services than traditional cost accounting.

Managerial accounting information is not important for not-for-profit organizations.

The process of choosing among competing alternatives is decision making.

Which of the following would occupy a line position in a hospital?

The controller of an organization participates in

Managerial accounting has its emphasis on the future.

Positions that have direct responsibility for the basic objectives of an organization are referred to as line positions.

Which of the following would not be an example of a value-added activity?

Which of the following areas is not emphasized by the Certified Management Accountant (CMA) examination?

Which of the following is true of profit maximization?

To promote ethical behavior by managers and employees, organizations commonly establish a__________________________.

________________________ involves choosing actions that are right, proper, and just.

______________________________ is the provision of accounting information for a company's internal users.

Time is not a crucial element in all phases of the value chain.

Which of the following is an example of the management activity referred to as planning?

Which of the following is not an objective of managerial accounting?

Managerial accounting reports are prepared:

The value chain is the set of activities required to design, develop, produce, market, and deliver products and service to customers.

Basic Managerial Accounting Concepts

Cost Behavior, Cost Forecasting, and Segmented Income Statements

Job-Order Costing and Normal Cost Overhead Application

Activity-Based Costing and Management

Process Costing

Cost-Volume-Profit Analysis

Tactical Decision-Making and Relevant Costing

Profit Planning and Flexible Budgets

Standard Costing and Variance Analysis

Performance Evaluation and Decentralization

Capital Investment Decisions

Emerging Topics in Managerial Accounting: Sustainability, Quality Cost, Lean Accounting, International Issues, Enterprise Risk Management, the Managerial Accountant in Forensicfraud Accounting

Statement of Cash Flows

Financial Statement Analysis

Filters