Accounting 212 Exam 1 questions wit |\ |\ |\ |\ |\ |\
answers
managerial accounting - CORRECT ANSWERS ✔✔activity that|\ |\ |\ |\ |\ |\ |\
provides financial and nonfinancial information to an
|\ |\ |\ |\ |\ |\ |\
organization's managers |\
managers include: - CORRECT ANSWERS ✔✔employees in charge
|\ |\ |\ |\ |\ |\ |\
of a company's divisions, heads of marketing/information
|\ |\ |\ |\ |\ |\ |\ |\
technology/human resources, CEO's and CFO's |\ |\ |\ |\
managerial accounting helps with 3 key tasks - CORRECT |\ |\ |\ |\ |\ |\ |\ |\ |\
ANSWERS ✔✔1. determining costs of an organization's
|\ |\ |\ |\ |\ |\
products/services
|\
2. planning future activities
|\ |\ |\
3. comparing actual results to planned results
|\ |\ |\ |\ |\ |\
2 main purposes of managerial accounting - CORRECT ANSWERS
|\ |\ |\ |\ |\ |\ |\ |\ |\
✔✔1. planning- setting goals and making plans to achieve them
|\ |\ |\ |\ |\ |\ |\ |\ |\ |\
(usually 5 to 10 year horizon) |\ |\ |\ |\ |\
2. control- monitoring planning decisions and evaluating an
|\ |\ |\ |\ |\ |\ |\ |\
organization's activities and employees, feedback provided allows |\ |\ |\ |\ |\ |\
managers to revise their plans
|\ |\ |\ |\ |\
, fraud - CORRECT ANSWERS ✔✔involves the use of one's job for
|\ |\ |\ |\ |\ |\ |\ |\ |\ |\ |\
personal gain through the deliberate misuse of the employer's
|\ |\ |\ |\ |\ |\ |\ |\ |\
assets (example: theft of employer's cash/other assets)
|\ |\ |\ |\ |\ |\
3 factors must exist for a person to commit fraud: - CORRECT
|\ |\ |\ |\ |\ |\ |\ |\ |\ |\ |\ |\
ANSWERS ✔✔opportunity, financial pressure, rationalization
|\ |\ |\ |\
internal control system - CORRECT ANSWERS ✔✔used to monitor
|\ |\ |\ |\ |\ |\ |\ |\ |\
and control business activities by ensuring reliable accounting,
|\ |\ |\ |\ |\ |\ |\ |\
urging adherence to company policies, protecting assets, and
|\ |\ |\ |\ |\ |\ |\ |\
promoting efficient operations |\ |\
ethics - CORRECT ANSWERS ✔✔beliefs that distinguish right from
|\ |\ |\ |\ |\ |\ |\ |\
wrong
|\
Institute of Management Accountants (IMA) Statement of Ethical
|\ |\ |\ |\ |\ |\ |\ |\
Practice requires that: - CORRECT ANSWERS ✔✔management
|\ |\ |\ |\ |\ |\ |\
accountants be competent, maintain confedintiality, act with |\ |\ |\ |\ |\ |\ |\
integrity, and communicate info in a fair and credible manner
|\ |\ |\ |\ |\ |\ |\ |\ |\
fixed cost - CORRECT ANSWERS ✔✔does not change with
|\ |\ |\ |\ |\ |\ |\ |\ |\
changes in volume of activity (ex: straight-line depreciation on
|\ |\ |\ |\ |\ |\ |\ |\ |\
equipment)
variable cost - CORRECT ANSWERS ✔✔changes in proportion to
|\ |\ |\ |\ |\ |\ |\ |\ |\
changes in volume of activity (ex: sales commission computed as
|\ |\ |\ |\ |\ |\ |\ |\ |\
a percent of sales revenue)
|\ |\ |\ |\ |\
answers
managerial accounting - CORRECT ANSWERS ✔✔activity that|\ |\ |\ |\ |\ |\ |\
provides financial and nonfinancial information to an
|\ |\ |\ |\ |\ |\ |\
organization's managers |\
managers include: - CORRECT ANSWERS ✔✔employees in charge
|\ |\ |\ |\ |\ |\ |\
of a company's divisions, heads of marketing/information
|\ |\ |\ |\ |\ |\ |\ |\
technology/human resources, CEO's and CFO's |\ |\ |\ |\
managerial accounting helps with 3 key tasks - CORRECT |\ |\ |\ |\ |\ |\ |\ |\ |\
ANSWERS ✔✔1. determining costs of an organization's
|\ |\ |\ |\ |\ |\
products/services
|\
2. planning future activities
|\ |\ |\
3. comparing actual results to planned results
|\ |\ |\ |\ |\ |\
2 main purposes of managerial accounting - CORRECT ANSWERS
|\ |\ |\ |\ |\ |\ |\ |\ |\
✔✔1. planning- setting goals and making plans to achieve them
|\ |\ |\ |\ |\ |\ |\ |\ |\ |\
(usually 5 to 10 year horizon) |\ |\ |\ |\ |\
2. control- monitoring planning decisions and evaluating an
|\ |\ |\ |\ |\ |\ |\ |\
organization's activities and employees, feedback provided allows |\ |\ |\ |\ |\ |\
managers to revise their plans
|\ |\ |\ |\ |\
, fraud - CORRECT ANSWERS ✔✔involves the use of one's job for
|\ |\ |\ |\ |\ |\ |\ |\ |\ |\ |\
personal gain through the deliberate misuse of the employer's
|\ |\ |\ |\ |\ |\ |\ |\ |\
assets (example: theft of employer's cash/other assets)
|\ |\ |\ |\ |\ |\
3 factors must exist for a person to commit fraud: - CORRECT
|\ |\ |\ |\ |\ |\ |\ |\ |\ |\ |\ |\
ANSWERS ✔✔opportunity, financial pressure, rationalization
|\ |\ |\ |\
internal control system - CORRECT ANSWERS ✔✔used to monitor
|\ |\ |\ |\ |\ |\ |\ |\ |\
and control business activities by ensuring reliable accounting,
|\ |\ |\ |\ |\ |\ |\ |\
urging adherence to company policies, protecting assets, and
|\ |\ |\ |\ |\ |\ |\ |\
promoting efficient operations |\ |\
ethics - CORRECT ANSWERS ✔✔beliefs that distinguish right from
|\ |\ |\ |\ |\ |\ |\ |\
wrong
|\
Institute of Management Accountants (IMA) Statement of Ethical
|\ |\ |\ |\ |\ |\ |\ |\
Practice requires that: - CORRECT ANSWERS ✔✔management
|\ |\ |\ |\ |\ |\ |\
accountants be competent, maintain confedintiality, act with |\ |\ |\ |\ |\ |\ |\
integrity, and communicate info in a fair and credible manner
|\ |\ |\ |\ |\ |\ |\ |\ |\
fixed cost - CORRECT ANSWERS ✔✔does not change with
|\ |\ |\ |\ |\ |\ |\ |\ |\
changes in volume of activity (ex: straight-line depreciation on
|\ |\ |\ |\ |\ |\ |\ |\ |\
equipment)
variable cost - CORRECT ANSWERS ✔✔changes in proportion to
|\ |\ |\ |\ |\ |\ |\ |\ |\
changes in volume of activity (ex: sales commission computed as
|\ |\ |\ |\ |\ |\ |\ |\ |\
a percent of sales revenue)
|\ |\ |\ |\ |\
