ACCT 207 EXAM 1 ACCURATE STUDY GUIDE
Certified Public Accountant - Answers - Provides minimal qualifications for external
auditors and provides assurance concerning the reliability of a firms financial statements
Lean accounting - Answers - Organizes costs according to the value chain and collects
both financial and non-financial information with the intent to eliminate waste
Controller - Answers - Role in the company that supervises all accounting functions
chief accounting officer in an organization
Line positions - Answers - Positions that have direct responsibility for the basic
objectives of an organization
ex. president, vp, general manager
Ethical behavior - Answers - choosing actions that are right, proper, and just. The belief
that each member of a group bears some responsibility for the well being of other
members
Managerial accounting - Answers - the provision of accounting info for a company's
internal users
Decision making - Answers - the process of choosing among competing alternatives
Certified Managerial Accountant - Answers - Demonstrates having passed a rigorous
qualifying exam, met an experience requirement, and participates in continuing ed
related to managerial accounting
Planning - Answers - requires setting objectives and identifying methods to achieve
those objectives
Continuous improvement - Answers - the continual search for ways to increase the
overall efficiency and productivity of activities by reducing waste, increasing quality, and
managing costs
Staff positions - Answers - positions that are supportive in nature and have only indirect
responsibility for an organizations basic objectives
Treasurer - Answers - Role in a company responsible for the finance function. raises
capital and manages cash and investments
Value Chain - Answers - the set of activities required to design, develop, produce,
market, and deliver products and services, as well as provide support services to
customers
, Controlling - Answers - The managerial activity of monitoring a plans implementation
and taking corrective action as needed
Financial Accounting - Answers - the branch of accoutning that is primarily concerned
with producing info for external users
Sarbanes-Oxley Act - Answers - passed by congress in 2002 in an attempt to limit
securities fraud and accounting misconduct scandals
has led to increased attention on corporate ethics
Competitive advantage - Answers - creating better customer value for the same or lower
cost that competitors or creating equivalent value for lower cost than that of competitors
Total quality management - Answers - A philosophy in which manufacturers strive to
create an environment that will enable workers to manufacture zero defect products
Managerial accounting is for what users? - Answers - Internal users ONLY
Managerial focuses on what time? - Answers - the future
Does managerial accounting follow GAAP? - Answers - nope
what are the 4 principles of IMA? - Answers - honesty
fairness
objectivity
responsibility
What are the 4 standards of IMA? - Answers - competence
confidentiality
credibility
integrity
Accumulating costs - Answers - the way that costs are measured and recorded
administrative costs - Answers - all costs associated with research, development, and
general administration of the organization that cannot be reasonably assigned to either
selling or production
allocation - Answers - when an indirect cost is assigned to a cost object using a
reasonable and convenient method
assigning costs - Answers - the way that a cost is linked to some cost object
conversion cost - Answers - direct labor + overhead costs
Certified Public Accountant - Answers - Provides minimal qualifications for external
auditors and provides assurance concerning the reliability of a firms financial statements
Lean accounting - Answers - Organizes costs according to the value chain and collects
both financial and non-financial information with the intent to eliminate waste
Controller - Answers - Role in the company that supervises all accounting functions
chief accounting officer in an organization
Line positions - Answers - Positions that have direct responsibility for the basic
objectives of an organization
ex. president, vp, general manager
Ethical behavior - Answers - choosing actions that are right, proper, and just. The belief
that each member of a group bears some responsibility for the well being of other
members
Managerial accounting - Answers - the provision of accounting info for a company's
internal users
Decision making - Answers - the process of choosing among competing alternatives
Certified Managerial Accountant - Answers - Demonstrates having passed a rigorous
qualifying exam, met an experience requirement, and participates in continuing ed
related to managerial accounting
Planning - Answers - requires setting objectives and identifying methods to achieve
those objectives
Continuous improvement - Answers - the continual search for ways to increase the
overall efficiency and productivity of activities by reducing waste, increasing quality, and
managing costs
Staff positions - Answers - positions that are supportive in nature and have only indirect
responsibility for an organizations basic objectives
Treasurer - Answers - Role in a company responsible for the finance function. raises
capital and manages cash and investments
Value Chain - Answers - the set of activities required to design, develop, produce,
market, and deliver products and services, as well as provide support services to
customers
, Controlling - Answers - The managerial activity of monitoring a plans implementation
and taking corrective action as needed
Financial Accounting - Answers - the branch of accoutning that is primarily concerned
with producing info for external users
Sarbanes-Oxley Act - Answers - passed by congress in 2002 in an attempt to limit
securities fraud and accounting misconduct scandals
has led to increased attention on corporate ethics
Competitive advantage - Answers - creating better customer value for the same or lower
cost that competitors or creating equivalent value for lower cost than that of competitors
Total quality management - Answers - A philosophy in which manufacturers strive to
create an environment that will enable workers to manufacture zero defect products
Managerial accounting is for what users? - Answers - Internal users ONLY
Managerial focuses on what time? - Answers - the future
Does managerial accounting follow GAAP? - Answers - nope
what are the 4 principles of IMA? - Answers - honesty
fairness
objectivity
responsibility
What are the 4 standards of IMA? - Answers - competence
confidentiality
credibility
integrity
Accumulating costs - Answers - the way that costs are measured and recorded
administrative costs - Answers - all costs associated with research, development, and
general administration of the organization that cannot be reasonably assigned to either
selling or production
allocation - Answers - when an indirect cost is assigned to a cost object using a
reasonable and convenient method
assigning costs - Answers - the way that a cost is linked to some cost object
conversion cost - Answers - direct labor + overhead costs
