Question 1

Which of the following statements is true with regard to product costs versus general, selling, and administrative costs?

Accepted Answer

A) Product costs associated with unsold units appear on the income statement as general expenses. 
B) General, selling, and administrative costs appear on the balance sheet. 
C) Product costs associated with units sold appear on the income statement as cost of goods sold. 
D) None of these is true.

Question 2

Which of the following is not one of the four Standards of Ethical Conduct for Management Accountants?

Accepted Answer

A) Credibility 
B) Confidentiality 
C) Integrity 
D) Independence

Question 3

Benchmarking involves the identification of the best practices used by world-class competitors. Discuss the following widely recognized best practices: activity-based management and just in time inventory.

Accepted Answer

The answer of Benchmarking involves the identification of the best...

Question 4

Which of the following costs would be classified as a direct cost for a company that produces motorcycles?

Accepted Answer

A) Rent of manufacturing facility that produces motorcycles 
B) Seats used in the motorcycles 
C) Wages of motorcycle assembly workers 
D) Both seats used in the motorcycles and wages of motorcycle assembly workers are correct.

Question 5

Select the correct statement regarding managerial and financial accounting.

Accepted Answer

A) Users of managerial accounting information desire greater aggregation than do users of financial accounting information. 
B) Both managerial and financial accounting use economic and physical data in addition to financial data. 
C) Financial accounting is more highly regulated than managerial accounting. 
D) Timeliness is more important in financial accounting than in managerial accounting.

Exam 1: Management Accounting and Corporate Governance

Which of the following statements is true with regard to product costs versus general, selling, and administrative costs?

Which of the following is not one of the four Standards of Ethical Conduct for Management Accountants?

Benchmarking involves the identification of the best practices used by world-class competitors. Discuss the following widely recognized best practices: activity-based management and just in time inventory.

Which of the following costs would be classified as a direct cost for a company that produces motorcycles?

Select the correct statement regarding managerial and financial accounting.