Question 1

The responsibility center file is primarily used by the Financial Reporting System.

Accepted Answer

A) True 
 B)False

Question 2

Management reporting is often called discretionary reporting because it is not mandated as is financial reporting.

Accepted Answer

A) True 
 B)False

Question 3

When evaluating decision alternatives,one option is to take no action.

Accepted Answer

A) True 
 B)False

Question 4

Which statement is not true? Responsibility accounting

Accepted Answer

A)   involves both a top-down and bottom-up flow of information
B)   acknowledges that some economic events cannot be traced to any manager
C)   creates a budget
D)   compares actual performance with budgetE) A) and D)
F) A) and B)

Question 5

List and explain the six basic files in the general ledger database.

Accepted Answer

The general ledger master file is the ma...

Question 6

An income statement is an example of an XBRL instance document.

Accepted Answer

A) True 
 B)False

Question 7

All of the following are elements of operational control decisions except

Accepted Answer

A)   determining the scope of the activity
B)   setting operating standards
C)   evaluating performance
D)   taking corrective action when necessaryE) A) and C)
F) B) and D)

Question 8

Contrast the four decision types,strategic planning,tactical planning,management control and operational control,by the four decision characteristics,time frame,scope,level of details,recurrence,and certainty.

Accepted Answer

Strategic planning decisions are 1)typic...

Question 9

A report is said to have information content if it eliminates uncertainty associated with a problem facing the decision maker.

Accepted Answer

A) True 
 B)False

Question 10

If a manager delegates responsibility to a subordinate,he or she must also grant the subordinate authority to make decisions.

Accepted Answer

A) True 
 B)False

Question 11

Which steps in the Financial Accounting Process are in the correct sequence?

Accepted Answer

A)   record the transaction, post to the ledger, prepare the adjusted trial balance, enter adjusting entries, prepare financial statements
B)   record the transaction, prepare the unadjusted trial balance, record adjusting journal entries, record closing entries, prepare financial statements
C)   record the transaction, post to the ledger, record adjusting entries, prepare the unadjusted trial balance, prepare financial statements
D)   record the transaction, post to the ledger, prepare the adjusted trial balance, prepare financial statements, record closing entriesE) All of the above
F) None of the above

Question 12

The difference between the actual performance and the standard is called the __________________________.

Accepted Answer

The answer of The difference between the actual performance and...

Question 13

The _______________________________ principle suggests that management should structure the firm around the work it performs rather than around individuals with unique skills.

Accepted Answer

formalizat...

Question 14

List two duties that the general ledger clerk should not perform.

Accepted Answer

make entries in special journa...

Question 15

The formalization of tasks principle suggests that management should structure the firm around the unique skills sets of key individuals.

Accepted Answer

A) True 
 B)False

Question 16

Which best describes a batch process General Ledger System (GLS)

Accepted Answer

A)   paper documents are eliminated
B)   the general ledger master file is updated each night
C)   there is a time lag between transaction processing and posting to the general ledger
D)   no direct access or querying of the General Ledger is possibleE) A) and C)
F) A) and D)

Question 17

Each account in the chart of accounts has a separate record in the general ledger master file.

Accepted Answer

A) True 
 B)False

Question 18

What three elements must be present for a problem to be "structured?"

Accepted Answer

data,proce...

Question 19

__________________________ refers to the number of subordinates directly under a manager's control.

Accepted Answer

The answer of __________________________ refers to the number of subordinates...

Question 20

Primary recipients of financial statement information are internal management.

Accepted Answer

A) True 
 B)False

Exam 8: General Ledger, Financial Reporting, and Management Reporting Systems

An income statement is an example of an XBRL instance document.

Correct AnswerverifiedShow Answer

The _______________________________ principle suggests that management should structure the firm around the work it performs rather than around individuals with unique skills.

Correct Answerverifiedformalizat...View AnswerShow Answer

If a manager delegates responsibility to a subordinate,he or she must also grant the subordinate authority to make decisions.

Correct AnswerverifiedShow Answer

The formalization of tasks principle suggests that management should structure the firm around the unique skills sets of key individuals.

Correct AnswerverifiedShow Answer

Primary recipients of financial statement information are internal management.

Correct AnswerverifiedShow Answer

Contrast the four decision types,strategic planning,tactical planning,management control and operational control,by the four decision characteristics,time frame,scope,level of details,recurrence,and certainty.

Correct AnswerverifiedStrategic planning decisions are 1)typic...View AnswerShow Answer

When evaluating decision alternatives,one option is to take no action.

Correct AnswerverifiedShow Answer

All of the following are elements of operational control decisions except

Correct AnswerverifiedShow Answer

List two duties that the general ledger clerk should not perform.

Correct Answerverifiedmake entries in special journa...View AnswerShow Answer

A report is said to have information content if it eliminates uncertainty associated with a problem facing the decision maker.

Correct AnswerverifiedShow Answer

Which best describes a batch process General Ledger System (GLS)

Correct AnswerverifiedShow Answer

Management reporting is often called discretionary reporting because it is not mandated as is financial reporting.

Correct AnswerverifiedShow Answer

What three elements must be present for a problem to be "structured?"

Correct Answerverifieddata,proce...View AnswerShow Answer

Which steps in the Financial Accounting Process are in the correct sequence?

Correct AnswerverifiedShow Answer

__________________________ refers to the number of subordinates directly under a manager's control.

Correct AnswerverifiedShow Answer

The difference between the actual performance and the standard is called the __________________________.

Correct AnswerverifiedShow Answer

The responsibility center file is primarily used by the Financial Reporting System.

Correct AnswerverifiedShow Answer

List and explain the six basic files in the general ledger database.

Correct AnswerverifiedThe general ledger master file is the ma...View AnswerShow Answer

Each account in the chart of accounts has a separate record in the general ledger master file.

Correct AnswerverifiedShow Answer

Which statement is not true? Responsibility accounting

Correct AnswerverifiedShow Answer

Correct Answer
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formalizat...
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Correct Answer
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Strategic planning decisions are 1)typic...
View Answer

Correct Answer
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Correct Answer
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Correct Answer
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make entries in special journa...
View Answer

Correct Answer
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Correct Answer
verified

Correct Answer
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Correct Answer
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data,proce...
View Answer

Correct Answer
verified

Correct Answer
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Correct Answer
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Correct Answer
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Correct Answer
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The general ledger master file is the ma...
View Answer

Correct Answer
verified

Correct Answer
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