Exam 1: Introduction to Cost Management

The process of choosing among competing alternatives is called decision making.

Cost accounting

Positions in a company that have direct responsibility for its basic objectives are called __________ positions, and the positions indirectly responsible for the company's objectives are called __________ positions.

Cost management information systems further competitive advantage by supporting three fundamental organizational goals. Which of the following is NOT one of these fundamental organizational goals that further competitive advantage?

Developing a company strategy for responding to anticipated new markets is an example of

Only Certified Public Accountants are permitted by law to serve as __________ .

Analyzing cost overruns to determine their cause is an example of

A computerized information system that strives to input data once and make it available to people across the company for different purposes is called a(n):

__________ is the persistent pursuit and elimination of waste which results in the decrease of lead time.

Managers are considering outsourcing sub-components of production. Data is collected about the costs of making the sub-component. Different bids are sought about the purchase of the sub-components. Which managerial activity is applicable in this situation?

The increased importance of costing activities in the value chain and determining the cost of different suppliers and customers has led to the emergence of

The role of cost and management accountants is one of support and teamwork and assistance of those who are responsible for achieving a company's basic objectives.

The three broad objectives of financial accounting information systems are to provide information for costing out services and products, planning and control, and decision making.

Currently, the activity found LEAST often within the controller's department is

The acceptance of a savings bond from a supplier would be a violation of which standard of ethical conduct for management accountants?

The Controller of a company supervises all the accounting departments and is often viewed as a member of the top management team.

_______________ broadens the focus of accounting because it is concerned with factors that drive costs, such as cycle time and process productivity.

Preparing reports for division managers is an activity associated with the cost management information system.

Positions that have direct responsibility for basic objectives are referred to as staff positions, and those indirectly responsible are called line positions.

Extending the close of the fiscal year beyond December 31 so that some sales of next year are included in the current year would be a violation of which standard of ethical conduct for management accountants?