Chapter 1-3 Managerial Accounting questions with correct answers

Financial v. Managerial Accounting Correct Answer-Managerial: future, for managers who plan and control, emphasis on relevance, emphasis on timeliness, focus on segment reports, not bound by GAAP, not mandatory 3 activities that managerial accounting helps carry out: Correct Answer-1. planning 2. controlling 3. decision making Planning: Correct Answer--Establishing goals, specifying how to achieve them, and develop a budget. Controlling: Correct Answer--Gathers feedback to ensure that plans are being followed. -Performance reviews compare actual results with the budget. Decision Making: Correct Answer--Involves making a selection among competing alternatives -Answers three questions: what should we sell, to whom, and how? 3 Customer Value Propositions: Correct Answer-1. Customer Intimacy Strategy 2. Operational Excellence Strategy 3. Product Leadership Strategy Customer Intimacy Strategy: Correct Answer-Understand and respond to individual customer needs