question

The management controlling function includes?

answer

Implementing plans, evaluating results, and providing feedback

question

Today's business environment is characterized by

answer

global competition, time-based competition, and a shift toward a service company

question

Which of the following is true of managerial accounting?

answer

It provides information on both external and internal transactions

question

Analyzing variances from the budget of the cost of materials used in making a particular product should be classified as:

answer

Attention Directing

question

Which of the following statements is true of integrated reporting?

answer

Integrated reporting communicates about how an organization's strategy, governance, performance and prospects lead to the creation of value over the short, medium, and long-term

question

Which of the following is a feature of managerial accounting?

answer

It provides internal management with the information it needs to run a company efficiently and effectively

question

Which of the following is true about management accounting?

answer

Management accounting is not restricted by GAAP

question

What are the four major ethical standards in the IMA statement of ethical professional practice?

answer

Competence, confidentiality, integrity, creditability

question

All of the following were provisions of the Sarbanes-Oxley Act of 2002 except

answer

the requirement of boards of directors of publicly held companies to appoint an audit committee composed only of internal company directors

question

As the accountant of Casey Computer, Co., you are aware of Casey's weak financial condition. Casey is close to signing a lucrative contract that should ensure its future. The controller states that the company must report a profit this year. He suggests, "Two customers have placed orders that are scheduled to be shipped January 3, when production of those orders is completed. Let's record the goods as finished and bill the customer on December 31 so we can show the profit from those orders in the current year." Which IMA standards of ethical practice would the controller be violating?

answer

Competence, integrity, and credibility

question

Sheena Bright writes the checks for a business and her brother, Andrew, does the accounting work and is in charge of ensuring that the accounting process is done correctly. What might be Andrew's official title?

answer

controller

question

management conducts variance analysis by comparing budget to actual

answer

controlling

question

management uses information on product costs to determine sales prices

answer

directing

question

management decided to increase sales by growth by 10% next year

answer

planning

question

to lower product costs, management moves production to mexico

answer

directing and controlling

question

management reviews hourly sales reports to determine the level of staffing needed to service customers

answer

directing

question

main characteristics of data is that it must be reliable and objective

answer

financial accounting

question

reports are prepared as needed

answer

managerial accounting

question

not governed by legal requirements

answer

managerial accounting

question

primary users are external (i.e., creditors, investors)

answer

financial accounting

question

focused on the future

answer

managerial accounting

question

reporting is based mainly on the company as a whole

answer

financial accounting

question

reports are usually prepared quarterly and annually

answer

financial accounting

question

information is verified by external auditors

answer

financial accounting

question

focused on the past

answer

financial accounting

question

main characteristics of data is that it must be relevant

answer

managerial accounting

question

reports tend to be prepared for the parts of the organization rather than the whole organization

answer

managerial accounting

question

primary users are internal (i.e., company managers)

answer

managerial accounting

question

governed by GAAP or international financial reporting standards

answer

financial accounting

question

invest company funds

answer

treasure

question

report to the audit committee of the board of directors and to a senior executive, such as the CFO or CEO

answer

internal auditing department

question

prepares company tax returns

answer

controller

question

performing cash counts at branch offices

answer

controller

question

preparing journal entries for month-end closing

answer

controller

question

issue company stock

answer

treasurer

question

ensure that the company's internal controls are functioning properly

answer

internal auditing department

question

create an analysis about whether to lease or buy a delivery truck

answer

controller

question

calculate the cost of a product

answer

controller

question

issue company bonds

answer

treasure

question

check to make sure that company risk management procedures are being followed

answer

internal auditing department

question

work with various departments in preparing operating budgets for the upcoming year

answer

controller

question

oversee accounts payable activities

answer

controller

question

managers' three primary responsibilities are planning, directing, and controlling

answer

true

question

management accounting is geared toward external stakeholders, such as investors and creditors

answer

false

question

management accountants often work in cross-functional team throughout organization

answer

true

question

the internal audit function reports to the audit committee of the board of directors

answer

true

question

management accountants are now more often looked upon as internal business advisors, rather than "bean counters" recording historical transactions

answer

true

question

management accountants should be proficient, but they dont need strong oral and written communication skills

answer

false

question

management accounts should be proficient in excel

answer

true

question

the AICPA certification

answer

false

question

The Sarbanes-Oxley Act of 2002 (SOX) imposes stricter requirements over financial reporting and internal controls and stricter consequences for those who engage in financial statement misconduct and other white-collar crimes

answer

true

question

US companies that have operations overseas must use the International Financial Reporting Standards (IFRS) to issue their financial statements

answer

false

question

Extensible Business Reporting Language(XBRL) is a standardized coding system that allows financial information to be tagged so that it can be read by computer programs

answer

true

question

the triple bottom assess company performance on three factors: people (social impact), planet (environment impact), and profit (economic impact)

answer

true

question

manufacturing makes up the largest sector of the US economy

answer

false

question

the globalization of business has little bearing on management accounting

answer

false

question

computer systems that integrate all of a company's worldwide functions into one database are known as IWSs

answer

false

question

lean thinking focuses on eliminating waste from operations in an effort to reduce costs

answer

true

question

the ISO 9001:2008 certification focuses on environmental management

answer

false

question

systems report on various segment or business units of the company

answer

managerial accounting

question

when managers evaluate the company's performance compared to the plan, they are performing the what role of management

answer

controlling

question

information on a company's past performance by provided to external parties by

answer

financial accounting

question

what systems are chose by comparing the costs versus the benefits of the system and are not restricted by GAAP or IFRS

answer

managerial accounting

question

CPAs audit the what statements of public companies

answer

financial accounting

question

financial accounting develops reports for external parties such as what

answer

creditors and shareholders

question

companies must follow GAAP or IFRS in their what systems

answer

financial accounting

question

decision makers inside a company are the

answer

managers

question

choosing goals and the means to achieve them is the what function of management

answer

planning

question

according to the IMA'S statement of ethical professional practice, management accountants should follow what four standards

answer

competence, confidentiality, integrity, and creditability

question

communicate information fairly and objectively

answer

creditability

question

recognize and communicate professional limitations that would preclude responsible judgement or successful performance of an activity

answer

competence

question

mitigate actual conflicts of interest. regularly communicate with business associates to avoid apparent conflicts of interest. advise all parties of any potential conflicts

answer

integrity

question

provide decision support information and recommendations that are accurate, clear, concise, and timely

answer

competence

question

abstain from engaging in or supporting any activity that might discredit the profession

answer

integrity

question

disclose all relevant information that could reasonably by expected to influence an intended user's understanding of the reports, analyses, or recommendations

answer

creditability

question

inform all relevant parties regarding the appropriate use of confidential information. monitor subordinates' activities to ensure compliance

answer

confidentiality

question

perform professional duties in accordance with relevant laws, regulations, and technical standards

answer

competence

question

refrain from engaging in any conduct that would prejudice carrying out duties ethically

answer

integrity

question

keep information confidential except when disclosure is authorized or legally required

answer

confidentiality

question

disclose delays or deficiencies in information, timeliness, processing, or internal controls in conformance with organization policy and/or applicable law

answer

creditability

question

refrain from using confidential information for unethical or illegal advantage

answer

confidentiality

question

maintain an appropriate level of professional expertise by continually developing knowledge and skills

answer

competence

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