Question 1

If a company were to increase its appraisal costs by inspecting more units as the units are completed, the company's internal failure costs

Accepted Answer

A)   would usually increase.
B)   would usually decrease.
C)   would usually remain the same.
D)   could not be predicted.E) A) and C)
F) A) and B)

Question 2

Which of the following cost items should be classified as a prevention cost on a cost of quality report?

Accepted Answer

A)   Warranty expenses on defective products
B)   Technical support provided to employees
C)   Supervision of quality inspections
D)   Net cost of spoiled unitsE) A) and B)
F) A) and D)

Question 3

Overseeing the day-to-day operations of a company is an example of the management function of

Accepted Answer

A)   controlling.
B)   decision-making.
C)   directing.
D)   planning.E) All of the above
F) C) and D)

Question 4

The vice-president of operations directly reports to which person(s) ?

Accepted Answer

A)   The CFO
B)   The COO
C)   The CEO
D)   The Board of DirectorsE) B) and D)
F) All of the above

Question 5

A company's Board of Directors meets

Accepted Answer

A)   annually.
B)   monthly.
C)   periodically, and at least annually.
D)   quarterly.E) C) and D)
F) B) and D)

Question 6

Discuss at least four differences between financial accounting and managerial accounting.

Accepted Answer

The answer of Discuss at least four differences between financial...

Question 7

The person MOST likely to use ONLY financial accounting information would be the

Accepted Answer

A)   bank loan officer.
B)   plant manager.
C)   vice president of plant operations.
D)   product manager.E) A) and B)
F) A) and C)

Question 8

Controlling means overseeing the company's day-to-day operations.

Accepted Answer

A) True 
 B)False

Question 9

As part of ________ , each business function examines its own activities and works to improve performance by continually setting higher goals.

Accepted Answer

A)   TQM
B)   ISO 9001:9008
C)   supply chain management
D)   lean productionE) B) and D)
F) B) and C)

Question 10

The "triple bottom line" includes measuring a corporations results in terms of environmental sustainability, social responsibility, and profit.

Accepted Answer

A) True 
 B)False

Question 11

SOX requires that the company's financial statements be certified by the company's

Accepted Answer

A)   CFO.
B)   CEO.
C)   CFO and CEO.
D)   Controller.E) C) and D)
F) B) and D)

Question 12

The cost of training quality control supervisors would be classified as a(n)

Accepted Answer

A)   prevention cost.
B)   appraisal cost.
C)   internal failure cost.
D)   external failure cost.E) None of the above
F) A) and C)

Question 13

The cost of supplier evaluation from a supplier would be classified as a(n)

Accepted Answer

A)   prevention cost.
B)   appraisal cost.
C)   internal failure cost.
D)   external failure cost.E) B) and D)
F) None of the above

Question 14

Employee behaviour is one of the factors that must be considered when designing the managerial accounting control system.

Accepted Answer

A) True 
 B)False

Question 15

ISO 9001:2008 is a(n)

Accepted Answer

A)   certification that a company complies with international quality standards.
B)   software system which integrates all departments.
C)   system where production occurs only when needed.
D)   effective exchange of information between vendors and customers.E) B) and C)
F) None of the above

Question 16

The cost of improved production equipment and production processes is a(n)

Accepted Answer

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

Question 17

ISO 9001:2008 is a certification program for companies that adhere to an international set of quality management standards and guidelines.

Accepted Answer

A) True 
 B)False

Question 18

Shortened manufacturing cycle times is a feature of Total Quality Management.

Accepted Answer

A) True 
 B)False

Question 19

No ownership interest in an audit client is an example of ________ in the CPA Guidelines for Ethical Behaviour.

Accepted Answer

A)   Adherence to Rules of Professional Conduct
B)   Enabling Competencies
C)   Assessing the Situation
D)   Integrative AnalysisE) A) and B)
F) A) and C)

Question 20

Managerial accounting information tends to report on segments of the business.

Accepted Answer

A) True 
 B)False

Exam 1: Introduction to Managerial Accounting

SOX requires that the company's financial statements be certified by the company's

Correct AnswerverifiedShow Answer

The cost of supplier evaluation from a supplier would be classified as a(n)

Correct AnswerverifiedShow Answer

Controlling means overseeing the company's day-to-day operations.

Correct AnswerverifiedShow Answer

A company's Board of Directors meets

Correct AnswerverifiedShow Answer

ISO 9001:2008 is a(n)

Correct AnswerverifiedShow Answer

The vice-president of operations directly reports to which person(s) ?

Correct AnswerverifiedShow Answer

Managerial accounting information tends to report on segments of the business.

Correct AnswerverifiedShow Answer

Which of the following cost items should be classified as a prevention cost on a cost of quality report?

Correct AnswerverifiedShow Answer

As part of ________ , each business function examines its own activities and works to improve performance by continually setting higher goals.

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Discuss at least four differences between financial accounting and managerial accounting.

Correct AnswerverifiedShow Answer

The cost of improved production equipment and production processes is a(n)

Correct AnswerverifiedShow Answer

ISO 9001:2008 is a certification program for companies that adhere to an international set of quality management standards and guidelines.

Correct AnswerverifiedShow Answer

The cost of training quality control supervisors would be classified as a(n)

Correct AnswerverifiedShow Answer

If a company were to increase its appraisal costs by inspecting more units as the units are completed, the company's internal failure costs

Correct AnswerverifiedShow Answer

Shortened manufacturing cycle times is a feature of Total Quality Management.

Correct AnswerverifiedShow Answer

No ownership interest in an audit client is an example of ________ in the CPA Guidelines for Ethical Behaviour.

Correct AnswerverifiedShow Answer

Overseeing the day-to-day operations of a company is an example of the management function of

Correct AnswerverifiedShow Answer

The person MOST likely to use ONLY financial accounting information would be the

Correct AnswerverifiedShow Answer

Employee behaviour is one of the factors that must be considered when designing the managerial accounting control system.

Correct AnswerverifiedShow Answer

The "triple bottom line" includes measuring a corporations results in terms of environmental sustainability, social responsibility, and profit.

Correct AnswerverifiedShow Answer

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