Question 1

Which file has as its primary purpose to present comparative financial reports on a historic basis?

Accepted Answer

A)   journal voucher history file
B)   budget master file
C)   responsibility file
D)   general ledger history fileE) All of the above
F) B) and C)

Question 2

What is the XBRL Taxonomy?

Accepted Answer

XBRL taxonomies are classifica...

Question 3

What is XBRL?

Accepted Answer

XBRL (Extensible Business Reporting Lang...

Question 4

Which statement is not correct?

Accepted Answer

A)   the post-closing trial balance reports the ending balance of each account in the general ledger
B)   one purpose of preparing the unadjusted trial balance is to ensure that debits equal credits
C)   financial statements are prepared based on the unadjusted trial balance
D)   the unadjusted trial balance reports control account balances but omits subsidiary ledger detailE) B) and C)
F) A) and B)

Question 5

A characteristic of the Management Reporting System (MRS) is

Accepted Answer

A)   the MRS operates in conformity with generally accepted accounting principles
B)   it is a legal requirement that the MRS be installed and functioning properly
C)   the MRS is developed by implementing SEC requirements
D)   the MRS focuses on internal decision-making informationE) A) and B)
F) B) and D)

Question 6

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

Accepted Answer

data,procedures,objectives

Question 7

Which statement is not true? The manager's span of control

Accepted Answer

A)   is narrow for routine and repetitive tasks
B)   is related to the number of layers of management
C)   affects the amount of detail provided to a manager
D)   can affect employee morale and motivationE) A) and D)
F) B) and C)

Question 8

Which of the following performance measures cannot result in dysfunctional behavior?

Accepted Answer

A)   price variance
B)   quotas
C)   ROI
D)   net income
E)   all of the above can result in dysfunctional behaviorF) A) and C)
G) C) and E)

Question 9

Short-range planning involves

Accepted Answer

A)   setting goals and objectives of the firm
B)   planning the production schedule for the next quarter
C)   planning the growth of the firm
D)   deciding on the degree of diversification among the firm's productsE) None of the above
F) B) and C)

Question 10

Explain the three types of responsibility centers.

Accepted Answer

Cost centers are organizational units wi...

Question 11

The control function entails evaluating a process against a standard and,if necessary,taking corrective action.

Accepted Answer

A) True 
 B)False

Question 12

A fundamental principle of responsibility accounting is that

Accepted Answer

A)   managers are accountable only for items they control
B)   a manager's span of control should not exceed eight people
C)   structured reports should be prepared weekly
D)   the information flow is in one direction,top-downE) A) and B)
F) None of the above

Question 13

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) None of the above
F) A) and B)

Question 14

Entries into the General Ledger System (GLS) can be made using information from

Accepted Answer

A)   the general journal
B)   a journal voucher which represents a summary of similar transactions
C)   a journal voucher which represents a single,unusual transaction
D)   all of the aboveE) All of the above
F) None of the above D

Question 15

One benefit of the Management Reporting System is that it can alert management to delays in project implementation.

Accepted Answer

A) True 
 B)False

Question 16

All of the following are characteristics of the strategic planning process except the

Accepted Answer

A)   emphasis on both the short and long run.
B)   review of the attributes and behavior of the organization's competition.
C)   analysis of external economic factors.
D)   analysis of consumer demand.E) A) and B)
F) A) and C)

Question 17

The Management Reporting System is a nondiscretionary system.

Accepted Answer

A) True 
 B)False  False

Question 18

What account appears on the post closing trial balance?

Accepted Answer

A)   income summary
B)   machinery
C)   rent expense
D)   interest incomeE) None of the above
F) B) and C)

Question 19

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

Accepted Answer

A) True 
 B)False

Question 20

With a limited work force and a desire to maintain strong internal control,which combination of duties performed by a single individual presents the least risk exposure?

Accepted Answer

A)   maintaining the inventory ledger and recording the inventory journal voucher in the general ledger
B)   recording the inventory journal voucher in the general ledger and maintaining custody of inventory
C)   maintaining the cash disbursements journal and recording direct labor costs applied to specific jobs
D)   preparing the accounts payable journal voucher and recording it in the general ledgerE) A) and B)
F) A) and C)

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

Which file has as its primary purpose to present comparative financial reports on a historic basis?

Correct AnswerverifiedShow Answer

What is the XBRL Taxonomy?

Correct AnswerverifiedXBRL taxonomies are classifica...View AnswerShow Answer

What is XBRL?

Correct AnswerverifiedXBRL (Extensible Business Reporting Lang...View AnswerShow Answer

Which statement is not correct?

Correct AnswerverifiedShow Answer

A characteristic of the Management Reporting System (MRS) is

Correct AnswerverifiedShow Answer

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

Correct Answerverifieddata,procedures,objectives

Which statement is not true? The manager's span of control

Correct AnswerverifiedShow Answer

Which of the following performance measures cannot result in dysfunctional behavior?

Correct AnswerverifiedShow Answer

Short-range planning involves

Correct AnswerverifiedShow Answer

Explain the three types of responsibility centers.

Correct AnswerverifiedCost centers are organizational units wi...View AnswerShow Answer

The control function entails evaluating a process against a standard and,if necessary,taking corrective action.

Correct AnswerverifiedShow Answer

A fundamental principle of responsibility accounting is that

Correct AnswerverifiedShow Answer

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

Correct AnswerverifiedShow Answer

Entries into the General Ledger System (GLS) can be made using information from

Correct AnswerverifiedD

One benefit of the Management Reporting System is that it can alert management to delays in project implementation.

Correct AnswerverifiedShow Answer

All of the following are characteristics of the strategic planning process except the

Correct AnswerverifiedShow Answer

The Management Reporting System is a nondiscretionary system.

Correct AnswerverifiedFalse

What account appears on the post closing trial balance?

Correct AnswerverifiedShow Answer

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

Correct AnswerverifiedShow Answer

With a limited work force and a desire to maintain strong internal control,which combination of duties performed by a single individual presents the least risk exposure?

Correct AnswerverifiedShow Answer

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XBRL taxonomies are classifica...
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XBRL (Extensible Business Reporting Lang...
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data,procedures,objectives

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Cost centers are organizational units wi...
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D

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False

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