ACC 241 Exam 1 (Chapters
1,2,3,4) with Correct Questions
and Answers
Which of the following report to the audit committee of the Board of Directors?
A. The treasurer and controller
B. The CFO and internal audit department
C. The internal audit department and the independent CPA firm
D. The CFO and the independent CPA firm - ANSWER - C. The internal audit
department and the independent CPA firm
Which of the following management responsibilities are being fulfilled when
management uses feedback to take corrective action on the budgets?
A. Directing and planning
B. Planning and decision-making
C. Controlling and decision-making
D. Planning and controlling - ANSWER - C. Controlling and decision-making
Which of the following statements is TRUE about managerial accounting
information?
A. It is prepared annually and quarterly.
B. It is audited by CPAs.
C. It emphasizes relevance.
D. It must be prepared in conformity with generally accepted accounting principles
(GAAP). - ANSWER - C. It emphasizes relevance.
,When determining the cost of a manufactured product, a salesperson's salary would
be classified as
:A. a direct cost.
B. an indirect cost.
C. a period cost.
D. none of the above - ANSWER - C. a period cost.
All of the following would be considered a direct material for a mattress EXCEPT:
A. fabric.
B. glue.
C. lumber.
D. steel. - ANSWER - B. glue.
Which of the following persons or groups would be LEAST likely to receive detailed
managerial accounting reports?
A. Plant managers
B. Current shareholders
C. Sales territory managers
D. CEO - ANSWER - B. Current shareholders
To resolve ethical dilemmas, the IMA suggests that management accountants
should FIRST:
A. follow their company's established policies for Reporting unethical behavior.
B. discuss the unethical situation with their immediate supervisor.
C. consult an attorney.
D. call the IMA "Ethics Hotline" . - ANSWER - A. follow their company's established
policies for Reporting unethical behavior.
, SOX requires publicly traded companies to have ___________ assessed annually.
A. their internal control system
B. their financial Reporting procedures
C. their internal control system and financial Reporting system
D. none of the above - ANSWER - C. their internal control system and financial
Reporting system
The assignment of direct and indirect materials to cost objects reduces:
A. finished goods inventory.
B. manufacturing overhead.
C. raw materials inventory.
D. work in process inventory. - ANSWER - C. raw materials inventory.
An internal request for raw materials calls for a _____________ to be completed.
A. purchase order
B. bill of materials
C. materials requisition
D. labor time record - ANSWER - C. materials requisition
Managerial accounting is needed by which type of company?
A. Manufacturers
B. Retailers
C. Service
D. All of the above - ANSWER - D. All of the above
1,2,3,4) with Correct Questions
and Answers
Which of the following report to the audit committee of the Board of Directors?
A. The treasurer and controller
B. The CFO and internal audit department
C. The internal audit department and the independent CPA firm
D. The CFO and the independent CPA firm - ANSWER - C. The internal audit
department and the independent CPA firm
Which of the following management responsibilities are being fulfilled when
management uses feedback to take corrective action on the budgets?
A. Directing and planning
B. Planning and decision-making
C. Controlling and decision-making
D. Planning and controlling - ANSWER - C. Controlling and decision-making
Which of the following statements is TRUE about managerial accounting
information?
A. It is prepared annually and quarterly.
B. It is audited by CPAs.
C. It emphasizes relevance.
D. It must be prepared in conformity with generally accepted accounting principles
(GAAP). - ANSWER - C. It emphasizes relevance.
,When determining the cost of a manufactured product, a salesperson's salary would
be classified as
:A. a direct cost.
B. an indirect cost.
C. a period cost.
D. none of the above - ANSWER - C. a period cost.
All of the following would be considered a direct material for a mattress EXCEPT:
A. fabric.
B. glue.
C. lumber.
D. steel. - ANSWER - B. glue.
Which of the following persons or groups would be LEAST likely to receive detailed
managerial accounting reports?
A. Plant managers
B. Current shareholders
C. Sales territory managers
D. CEO - ANSWER - B. Current shareholders
To resolve ethical dilemmas, the IMA suggests that management accountants
should FIRST:
A. follow their company's established policies for Reporting unethical behavior.
B. discuss the unethical situation with their immediate supervisor.
C. consult an attorney.
D. call the IMA "Ethics Hotline" . - ANSWER - A. follow their company's established
policies for Reporting unethical behavior.
, SOX requires publicly traded companies to have ___________ assessed annually.
A. their internal control system
B. their financial Reporting procedures
C. their internal control system and financial Reporting system
D. none of the above - ANSWER - C. their internal control system and financial
Reporting system
The assignment of direct and indirect materials to cost objects reduces:
A. finished goods inventory.
B. manufacturing overhead.
C. raw materials inventory.
D. work in process inventory. - ANSWER - C. raw materials inventory.
An internal request for raw materials calls for a _____________ to be completed.
A. purchase order
B. bill of materials
C. materials requisition
D. labor time record - ANSWER - C. materials requisition
Managerial accounting is needed by which type of company?
A. Manufacturers
B. Retailers
C. Service
D. All of the above - ANSWER - D. All of the above
