Question 1

Management accountants spend more time planning,analyzing and interpreting accounting data and less time recording routine accounting transactions than they have in the past.

Accepted Answer

A) True 
 B)False

Question 2

Under Sarbanes-Oxley,what is the maximum number of years of imprisonment for knowingly destroying or creating documents to obstruct any federal investigation?

Accepted Answer

A) 5 years 
B) 10 years 
C) 15 years 
D) 20 years

Question 3

The cost of fixing defective units found during the quality inspections would be classified as a(n)

Accepted Answer

A) prevention cost. 
B) appraisal cost. 
C) internal failure cost. 
D) external failure cost.

Question 4

Throughput time is cut when which of the following methods is used?

Accepted Answer

A) IFRS 
B) JIT 
C) ISO 
D) XBRL

Question 5

Which term below best describes the quality cost category for "cost of warranty repairs on food processors"?

Accepted Answer

A) Prevention costs 
B) Appraisal costs 
C) Internal failure costs 
D) External failure costs

Question 6

IFRS stands for "important financial reporting standards."

Accepted Answer

A) True 
 B)False

Question 7

Who requires companies listed on the New York Stock Exchange to have an internal audit function?

Accepted Answer

A) The Board of Directors 
B) The NYSE 
C) The internal revenue service (IRS) 
D) The stockholders

Question 8

The lost profits from lost customers are an example of

Accepted Answer

A) prevention costs. 
B) internal failure costs. 
C) appraisal costs. 
D) external failure costs.

Question 9

Production loss caused by downtime is an example of what type of cost?

Accepted Answer

A) External failure cost 
B) Internal failure cost 
C) Prevention cost 
D) Appraisal cost

Question 10

The Society of Management Accountants ethical principles include: responsibility,
loyalty,honour and independence.

Accepted Answer

A) True 
 B)False

Question 11

Information for external parties about past performance is provided by

Accepted Answer

A) budget reports. 
B) financial accounting reports. 
C) managerial accounting reports. 
D) planning reports.

Question 12

Which of following is TRUE?

Accepted Answer

A) Management accounting focuses on historical transactions. 
B) Financial accounting uses the cash basis for recording transactions. 
C) Financial accounting focuses on future data. 
D) Management accounting focuses on relevant data.

Question 13

Which one of the following manager responsibilities encompasses the other three?

Accepted Answer

A) Decision-making 
B) Feedback 
C) Planning 
D) Controlling

Question 14

Which of the following statements is FALSE?

Accepted Answer

A) Financial accounting provides sufficient information for managers to effectively plan and control operations. 
B) Financial accounting reports help creditors make decisions. 
C) Financial accounting helps investors make decisions. 
D) Financial accounting provides external reports.

Question 15

Why is it important that all managerial accountants adhere to professional and ethical standards as codified by the profession?

Accepted Answer

The answer of Why is it important that all managerial...

Question 16

The advantages of XBRL include decreases in the need for manual searches through corporate reports for specific pieces of information as well as facilitating the comparison of companies results to industry averages and to each other.

Accepted Answer

A) True 
 B)False

Question 17

The COO is responsible for managing which of the following aspect(s)of the company?

Accepted Answer

A) Internal controls 
B) The annual audit 
C) Financial,managerial,and tax accounting 
D) Research and development,production,and distribution

Question 18

The cost of maintaining testing equipment would be classified as a(n)

Accepted Answer

A) prevention cost. 
B) appraisal cost. 
C) internal failure cost. 
D) external failure cost.

Question 19

Your company sends you to a conference to update your skills.You decide to skip the afternoon session and go sightseeing.This violates the professional competency and integrity standards.

Accepted Answer

A) True 
 B)False

Question 20

When management compares the budget to actual results,which of the following is being fulfilled?

Accepted Answer

A) Directing 
B) Controlling 
C) Decision-making 
D) Planning

Exam 1: Introduction to Managerial Accounting

Management accountants spend more time planning,analyzing and interpreting accounting data and less time recording routine accounting transactions than they have in the past.

Under Sarbanes-Oxley,what is the maximum number of years of imprisonment for knowingly destroying or creating documents to obstruct any federal investigation?

The cost of fixing defective units found during the quality inspections would be classified as a(n)

Throughput time is cut when which of the following methods is used?

Which term below best describes the quality cost category for "cost of warranty repairs on food processors"?

IFRS stands for "important financial reporting standards."

Who requires companies listed on the New York Stock Exchange to have an internal audit function?

The lost profits from lost customers are an example of

Production loss caused by downtime is an example of what type of cost?

The Society of Management Accountants ethical principles include: responsibility, loyalty,honour and independence.

Information for external parties about past performance is provided by

Which of following is TRUE?

Which one of the following manager responsibilities encompasses the other three?

Which of the following statements is FALSE?

Why is it important that all managerial accountants adhere to professional and ethical standards as codified by the profession?

The advantages of XBRL include decreases in the need for manual searches through corporate reports for specific pieces of information as well as facilitating the comparison of companies results to industry averages and to each other.

The COO is responsible for managing which of the following aspect(s) of the company?

The cost of maintaining testing equipment would be classified as a(n)

Your company sends you to a conference to update your skills.You decide to skip the afternoon session and go sightseeing.This violates the professional competency and integrity standards.

When management compares the budget to actual results,which of the following is being fulfilled?