Fundamental Managerial Accounting Concepts – 10th Edition by Thomas P. Edmonds, Christopher Edmonds & Mark A. Edmonds – Complete Test Bank for Chapters 1–14

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,Test Bank Fundamental Managerial Accounting Concepts, 10th Edition by Edmonds
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Answers Included+j

Chapter 01 10e
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1) Which of the following items are representative of managerial accounting?
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Note: Check all that apply.
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A) Financial statement in accordance with GAAP
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B) Monthly sales reports used internally to allocate funds to divisions
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C) Quarterly financial information sent to investors
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D) Audited financial statements submitted to bankers with credit application
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E) Budget projections used to make logistic decisions
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2) Which of the following costs are not included in the cost of manufacturing a product?
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Note: Check all that apply.
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A) Marketing
B) Production workers' wages +j +j



C) Factory janitor's wages +j +j


D) CEO salary +j



E) Depreciation on manufacturing equipment +j +j +j




3) Which of the following is considered a downstream cost?
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Note: Check all that apply.
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A) Research and development +j +j


B) Production wages +j



C) Advertising cost +j



D) Warranty cost +j



E) Cost of internet in manufacturing plant
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4) Which of the following are examples of inventory holding costs?
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Note: Check all that apply.
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, A) Cost of warehouse space+j +j +j



B) Cost of shipping inventory to customers
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C) Research and development cost +j +j +j


D) Cost of supervising inventory
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E) Inventory spoilage cost +j +j




5) Ashley Bradshaw is the manager of one department in a large store. In this capacity
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, which of the following kinds of information would she be interested in?
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A) Economic data +j



B) Financial data +j


C) Nonfinancial data +j



D) Financial, economic, and nonfinancial data +j +j +j +j




6) All of the following are features of managerial accountingexcept:
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A) information is provided primarily to insiders such as managers.
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B) information includes economic and non-financial data as well as financial data.
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C) information is characterized by objectivity, reliability, consistency, and accuracy.
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D) information is reported continuously with a present or future orientation.
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7) Choose the answer that isnot a distinguishing characteristic of financial accounting
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information.
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A) It is global information that reflects the performance of the whole company.
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B) It is focused primarily on the future.
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C) It is more concerned with financial data than physical or economic data.
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D) It is more highly regulated than managerial accounting information.
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, 8) Managerial accounting information is limited or restricted by which of the following
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authorities or principles?
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A) Securities and Exchange Commission +j +j +j


B) Generally Accepted Accounting Principles
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C) Managerial Accounting Standards Board +j +j +j


D) Value-Added Principle +j




9) Select theincorrect statement regarding the relationship between type of user and type o
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f information.
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A) Middle managers need more nonfinancial, or operational data than do senior
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executives.
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B) Assembly line supervisors need more immediate feedback on performance than do
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senior executives.
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C) Senior executives need less aggregated information than do lower-level managers.
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D) Senior executives use general economic information as well as financial information.
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10) Which group would use managerial accounting data of XY Company?
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A) Stockholders
B) Managers
C) Executives
D) Both managers and executives
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E) All of the groups would use managerial accounting data
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11) Which of the following is a feature of managerial accounting information?
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