Test Bank Managerial Accounting Tools for Business Decision Making 7th Canadian Edition By Jerry Weygandt, Paul Kimmel, Ibrahim Aly

Test Bank for Managerial
Accounting Tools for Business
Decision Making 7th Canadian
Edition By Jerry Weygandt, Paul
Kimmel, Ibrahim Aly (All
Chapters 1-13, 100% Original
Verified, A+ Grade)
This is The Only Original and
Complete Test Bank for 7th
Canadian Edition, All Other
Files in the Market are
Fake/Old/Wrong Edition.

,Managerial Accounting, 7Ce (Weygandt)
Chapter 1 Managerial Accounting

TRUE-FALSE STATEMENTS

1) Management accounting and financial accounting, while in the same field, are mutually
exclusive disciplines.
Answer: FALSE
Diff: 1
Learning Objective: 1.1 Explain the distinguishing features of managerial accounting.
Bloom's Taxonomy: Comprehension
AACSB: Analytic
CPA: Management Accounting

2) Given the decision to employ straight-line amortization or a usage-based amortization method,
the management accountant's need to report the most relevant economic information to external
users will determine which method is used.
Answer: FALSE
Diff: 1
Learning Objective: 1.1 Explain the distinguishing features of managerial accounting.
Bloom's Taxonomy: Comprehension
AACSB: Analytic
CPA: Management Accounting

3) Decision making is an integral part of the planning, directing, and motivating functions, but
not of the controlling function.
Answer: FALSE
Diff: 1
Learning Objective: 1.2 Identify the three broad functions of management and the role of
management accountants in an organizational structure.
Bloom's Taxonomy: Knowledge
AACSB: Analytic
CPA: Management Accounting

4) Employees with staff positions serve other employees, while those with line positions work
directly in line with the company's revenue generating goals.
Answer: TRUE
Diff: 1
Learning Objective: 1.2 Identify the three broad functions of management and the role of
management accountants in an organizational structure.
Bloom's Taxonomy: Knowledge
AACSB: Analytic
CPA: Management Accounting




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,5) Activity-based costing is a method of allocating overhead costs to products.
Answer: TRUE
Diff: 1
Learning Objective: 1.4 Identify changes and trends in managerial accounting.
Bloom's Taxonomy: Knowledge
AACSB: Analytic
CPA: Management Accounting

MULTIPLE CHOICE QUESTIONS

6) Managerial accounting ________.
A) information generally pertains to an entity as a whole and is very detailed
B) applies only to manufacturing companies
C) focuses primarily on reports for both internal and external users
D) provides tools that help management make decisions and evaluate the effectiveness of those
decisions
Answer: D
Diff: 1
Learning Objective: 1.1 Explain the distinguishing features of managerial accounting.
Bloom's Taxonomy: Knowledge
AACSB: Analytic
CPA: Management Accounting

7) Reports scrutinized by managerial accountants ________.
A) do not include those focused on business subunits
B) do not include non-financial data relevant to business decision making
C) are highly aggregated
D) are special purpose for specific decisions
Answer: D
Diff: 1
Learning Objective: 1.1 Explain the distinguishing features of managerial accounting.
Bloom's Taxonomy: Knowledge
AACSB: Analytic
CPA: Management Accounting

8) Managerial accounting ________.
A) is concerned with costing products
B) is governed by generally accepted accounting principles
C) pertains to the entity as a whole and is highly aggregated
D) places emphasis on special-purpose information
Answer: D
Diff: 1
Learning Objective: 1.1 Explain the distinguishing features of managerial accounting.
Bloom's Taxonomy: Knowledge
AACSB: Analytic
CPA: Management Accounting


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, 9) Managerial accounting information is generally prepared for ________.
A) shareholders
B) managers
C) regulatory agencies
D) investors
Answer: B
Diff: 1
Learning Objective: 1.1 Explain the distinguishing features of managerial accounting.
Bloom's Taxonomy: Comprehension
AACSB: Analytic
CPA: Management Accounting

10) Managerial accounting information ________.
A) pertains to the entity as a whole and is highly aggregated
B) must be prepared according to generally accepted accounting principles
C) pertains to subunits of the entity and may be detailed
D) is prepared only once a year
Answer: C
Diff: 1
Learning Objective: 1.1 Explain the distinguishing features of managerial accounting.
Bloom's Taxonomy: Knowledge
AACSB: Analytic
CPA: Management Accounting

11) The major reporting standard for management accounting is ________.
A) the Standards of Ethical Conduct for Practitioners of Management Accounting and Financial
Management
B) the Sarbanes-Oxley Act of 2002
C) relevance to decisions
D) generally accepted accounting principles
Answer: A
Diff: 1
Learning Objective: 1.1 Explain the distinguishing features of managerial accounting.
Bloom's Taxonomy: Comprehension
AACSB: Analytic
CPA: Management Accounting




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