Solution manual for horngren s accounting the managerial chapters 14th edition By Tracie Miller-Nobles Brenda Mattison, All Chapters 1 - 9

ACCOUNTING
Solution manual for horngren s accounting the managerial

chapters 14th edition By Tracie Miller-Nobles Brenda

Mattison, All Chapters 1 - 9

Gradegurus

, Tableofcontents s




1. IntroductiontoManagerialAccountings s s




2. JobOrderCosting
s s




3. Process Costing s




4. Cost-Volume-ProfitAnalysis s




5. MasterBudgets s




6. Flexible Budgets and Standard Cost Systems
s s s s s




7. CostAllocationandResponsibilityAccounting
s s s s




8. Short-Term Business Decisions s s




9. CapitalInvestment Decisions
s s




https://www.stuvia.com/user/Gradegurus

, ChapterM:1 s




Introduction to Managerial Accounting s s s




Review Questions s




1. What is the primary purpose of managerial accounting?
s s s s s s s




The primary purpose of managerial accounting is to provide information to help managers pla
s s s s s s s s s s s s s


n,direct, control, and make decisions.
s s s s s




2. List six differences between financial accounting and managerial accounting.
s s s s s s s s




Financial accounting and managerial accounting differ on the following 6 dimensions: (1) primary
s s s s s s s s s s s s



users, (2) purpose of information, (3) focus and time dimension of the information, (4) rules and r
s s s s s s s s s s s s s s s s s



e-strictions, (5) scope of information, and (6) behavioral.
s s s s s s s s




3. Explain the difference between line positions and staff positions.
s s s s s s s s




Line positions are directly involved in providing goods or services to customers. Staff position
s s s s s s s s s s s s s


ssupport line positions.
s s s




4. Explain the differences between planning, directing, and controlling.
s s s s s s s




Planning means choosing goals and deciding how to achieve them. Directing involves running the
s s s s s s s s s s s s s


day-to-
s


day operations of a business. Controlling is the process of monitoring operations and keepingthe c
s s s s s s s s s s s s s s


ompany on track.
s s s




5. List the four IMA standards of ethical practice and briefly describe each.
s s s s s s s s s s s




The four IMA standards of ethical practice and a description of each follow.
s s s s s s s s s s s s



I. Competence.
Maintain an appropriate level of professional leadership and expertise by enhanci
s s s s s s s s s s s



ngknowledge and skills.
s s s



Perform professional duties in accordance with relevant laws, regulations, and technic
s s s s s s s s s s s



alstandards. s



Provide decision support information and recommendations that are accurate, clear, concise,
s s s s s s s s s s




https://www.stuvia.com/user/Gradegurus

, and timely. s



Recognise and help mange risk.
s s s s s



II. Confidentiality.
Keep information confidential except when disclosure is authorized or legally required.
s s s s s s s s s s



Inform all relevant parties regarding appropriate use of confidential information. Monitor
s s s s s s s s s s s



toensure compliance.
s s



Refrain from using confidential information for unethical or illegal advantage.
s s s s s s s s s s


III. Integrity.
Mitigate actual conflicts of interest. Regularly communicate with business associates to avoi
s s s s s s s s s s s s



dapparent conflicts of interest. Advise all parties of any potential conflicts.
s s s s s s s s s s s



Refrain from engaging in any conduct that would prejudice carrying out duties ethically.
s s s s s s s s s s s s



Abstain from engaging in or supporting any activity that might discredit the profession.
s s s s s s s s s s s s s



Contribute to a positive ethical culture and place integrity of the profession above perso
s s s s s s s s s s s s s s



nalinterest.
s




5, cont.
s



IV. Credibility.
Communicate information fairly and objectively. s s s s



Provide all relevant information that could reasonably be expected to influence an intend
s s s s s s s s s s s s



eduser’s understanding of the reports, analyses, or recommendations.
s s s s s s s s



Report any delays or deficiencies in information, timeliness, processing, or internal contro
s s s s s s s s s s s s



lsin conformance with organization policy and/or applicable law.
s s s s s s s s



Communicate any professional limitations or other constraints that would preclude respon
s s s s s s s s s s s



si-ble judgment or successful performance of an activity.
s s s s s s s s




6. Describe a service company and give an example.
s s s s s s s




Service companies sell time, skills, and knowledge. Examples of service companies include phone
s s s s s s s s s s s s



service companies, banks, cleaning service companies, accounting firms, law firms, medical physi
s s s s s s s s s s s s



-cians, and online auction services.
s s s s




7. Describe a merchandising company and give an example.
s s s s s s s




Merchandising companies resell products they buy from suppliers. Merchandisers keep an invento
s s s s s s s s s s s



ryof products, and managers are accountable for the purchasing, storage, and sale of the products.
s s s s s s s s s s s s s s s



Ex- amples of merchandising companies include toy stores, grocery stores, and clothing stores.
s s s s s s s s s s s s s




8. How do manufacturing companies differ from merchandising companies?
s s s s s s s




Merchandising companies resell products they previously bought from suppliers, whereas manufa
s s s s s s s s s s



c-
s




https://www.stuvia.com/user/Gradegurus