,Chapter 01 - ManagerialAccounting and the Business Environment
|| || || | || || || ||
Chapter01 | ||
ManagerialAccounting and the Business Environment | || || || ||
Multiple Choice Questions || ||
1. Day-to-day decision making is most common to which of the following activities managers
|| || || || || || || || || || || || ||
are expected to carry on in organizations?
|| || || || || ||
A. Strategy formulation. ||
B. Directing and motivating. || ||
C. Planning.
D. Budgeting.
Blooms: Understand
||
CPA Competency: 3.1.1 Evaluates management information requirements.
| || || || || ||
Difficulty: Medium
| | ||
Learning Objective: 01-01 Describe the functions performed by managers.
|| || || || || || || ||
Topic: 01-02 The Work of Managers and Their Need for Managerial Accounting Information
|| || || || || || || || || || || ||
2. Identifying alternatives and selecting the best among them is part of which of the following
|| || || || || || || || || || || || || || ||
activities which managers carry on in organizations?
|| || || || || ||
A. Controlling.
B. Directing.
C. Planning.
D. Motivating.
Blooms: Understand
||
CPA Competency: 3.1.1 Evaluates management information requirements.
| || || || || ||
Difficulty: Medium
| | ||
Learning Objective: 01-01 Describe the functions performed by
|| || || || || || || ||
managers. Topic: 01-03 Planning| | || ||
1-1
Copyright © 2018 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent
|| || || || | || || || || || || || || || || || ||
of McGraw-Hill Education. | | ||
,Chapter 01 - ManagerialAccounting and the Business Environment
|| || || | || || || ||
3. Budgeting is part of which of the following activities managers perform in organizations?
|| || || || || || || || || || || ||
A. Controlling.
B. Directing.
C. Planning.
D. Motivating.
Blooms: Understand
||
CPA Competency: 3.1.1 Evaluates management information requirements.
| || || || || ||
Difficulty: Easy
| | ||
Learning Objective: 01-01 Describe the functions performed by
|| || || || || || || ||
managers. Topic: 01-03 Planning | | || ||
4. Obtaining feedback is generally identified most directly with which of these functions of
|| || || || || || || || || || || || ||
management?
A. Planning.
B. Directing and motivating. || ||
C. Controlling.
D. Decision making. ||
Blooms: Understand
||
CPA Competency: 3.1.1 Evaluates management information requirements.
| || || || || ||
Difficulty: Easy
| | ||
Learning Objective: 01-01 Describe the functions performed by
|| || || || || || || ||
managers. Topic: 01-05 Controlling | | || ||
5. Which of the following is part of managing and improving business processes?
|| || || || || || || || || || ||
A. Directing
B. Lean production ||
C. Motivating
D. Planning
Blooms: Remember||
CPA Competency: 3.1.2 Evaluates the types of information systems used and the role they play in an organization.
|| || || || || || || || || || || || || || || || || | |
Difficulty: Easy ||
Learning Objective: 01-03 Explain the basic concepts of lean production and enterprise risk management.
|| || || || || || || || || || || || || | |
Topic: 01-16 Business Process Management
|| || || ||
1-2
Copyright © 2018 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent
|| || || || | || || || || || || || || || || || ||
of McGraw-Hill Education. | | ||
, Chapter 01 - ManagerialAccounting and the Business Environment
|| || || | || || || ||
6. Which is the most common risk management tactic? || || || || || || ||
A. Accept the risk. || ||
B. Avoidthe risk. | |
C. Reduce the risk. || ||
D. Share the risk. || ||
Blooms: Remember ||
CPA Competency: 3.1.2 Evaluates the types of information systems used and the role they play in an organization.
|| || || || || || || || || || || || || || || || || | |
Difficulty: Easy ||
Learning Objective: 01-03 Explain the basic concepts of lean production and enterprise risk management.
|| || || || || || || || || || || || || | |
Topic: 01-18 Enterprise Risk Management
|| || || ||
7. Which of the following best describes the function of managerial accounting within an
|| || || || || || || || || || || || ||
organization?
A. It has its primary emphasis on the future.
|| || || || || || ||
B. It is required by regulatory bodies such as the Ontario Securities Commission.
|| || || || || || || || || || ||
C. It focuses on the organization as a whole, rather than on the organization's segments.
|| || || || || || || || || || || || ||
D. It places more emphasis on precision of data than financial accounting does.
|| || || || || || || || || || ||
Blooms: Remember ||
CPA Competency: 3.1.1 Evaluates management information requirements.
| || || || || ||
Difficulty: Easy
| | ||
Learning Objective: 01-02 Identify the major differences and similarities between financial and managerial accounting.
|| || || || || || || || || || || || ||
Topic: 01-10 Emphasis on the Future
| | || || || || ||
8. Upon which of the following does managerial accounting place considerable weight?
|| || || || || || || || || ||
A. Generally accepted accounting principles. | || ||
B. The financial history of the entity.
|| || || || ||
C. Ensuring that all transactions are properly recorded. || || || || || ||
D. Detailed segment reports about departments, products, and customers. || || || || || || ||
Blooms: Understand
||
CPA Competency: 3.1.1 Evaluates management information requirements.
| || || || || ||
Difficulty: Easy
| | ||
Learning Objective: 01-02 Identify the major differences and similarities between financial and managerial accounting.
|| || || || || || || || || || || || ||
Topic: 01-13 Segments of an Organization
| | || || || || ||
1-3
Copyright © 2018 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent
|| || || || | || || || || || || || || || || || ||
of McGraw-Hill Education. | | ||
|| || || | || || || ||
Chapter01 | ||
ManagerialAccounting and the Business Environment | || || || ||
Multiple Choice Questions || ||
1. Day-to-day decision making is most common to which of the following activities managers
|| || || || || || || || || || || || ||
are expected to carry on in organizations?
|| || || || || ||
A. Strategy formulation. ||
B. Directing and motivating. || ||
C. Planning.
D. Budgeting.
Blooms: Understand
||
CPA Competency: 3.1.1 Evaluates management information requirements.
| || || || || ||
Difficulty: Medium
| | ||
Learning Objective: 01-01 Describe the functions performed by managers.
|| || || || || || || ||
Topic: 01-02 The Work of Managers and Their Need for Managerial Accounting Information
|| || || || || || || || || || || ||
2. Identifying alternatives and selecting the best among them is part of which of the following
|| || || || || || || || || || || || || || ||
activities which managers carry on in organizations?
|| || || || || ||
A. Controlling.
B. Directing.
C. Planning.
D. Motivating.
Blooms: Understand
||
CPA Competency: 3.1.1 Evaluates management information requirements.
| || || || || ||
Difficulty: Medium
| | ||
Learning Objective: 01-01 Describe the functions performed by
|| || || || || || || ||
managers. Topic: 01-03 Planning| | || ||
1-1
Copyright © 2018 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent
|| || || || | || || || || || || || || || || || ||
of McGraw-Hill Education. | | ||
,Chapter 01 - ManagerialAccounting and the Business Environment
|| || || | || || || ||
3. Budgeting is part of which of the following activities managers perform in organizations?
|| || || || || || || || || || || ||
A. Controlling.
B. Directing.
C. Planning.
D. Motivating.
Blooms: Understand
||
CPA Competency: 3.1.1 Evaluates management information requirements.
| || || || || ||
Difficulty: Easy
| | ||
Learning Objective: 01-01 Describe the functions performed by
|| || || || || || || ||
managers. Topic: 01-03 Planning | | || ||
4. Obtaining feedback is generally identified most directly with which of these functions of
|| || || || || || || || || || || || ||
management?
A. Planning.
B. Directing and motivating. || ||
C. Controlling.
D. Decision making. ||
Blooms: Understand
||
CPA Competency: 3.1.1 Evaluates management information requirements.
| || || || || ||
Difficulty: Easy
| | ||
Learning Objective: 01-01 Describe the functions performed by
|| || || || || || || ||
managers. Topic: 01-05 Controlling | | || ||
5. Which of the following is part of managing and improving business processes?
|| || || || || || || || || || ||
A. Directing
B. Lean production ||
C. Motivating
D. Planning
Blooms: Remember||
CPA Competency: 3.1.2 Evaluates the types of information systems used and the role they play in an organization.
|| || || || || || || || || || || || || || || || || | |
Difficulty: Easy ||
Learning Objective: 01-03 Explain the basic concepts of lean production and enterprise risk management.
|| || || || || || || || || || || || || | |
Topic: 01-16 Business Process Management
|| || || ||
1-2
Copyright © 2018 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent
|| || || || | || || || || || || || || || || || ||
of McGraw-Hill Education. | | ||
, Chapter 01 - ManagerialAccounting and the Business Environment
|| || || | || || || ||
6. Which is the most common risk management tactic? || || || || || || ||
A. Accept the risk. || ||
B. Avoidthe risk. | |
C. Reduce the risk. || ||
D. Share the risk. || ||
Blooms: Remember ||
CPA Competency: 3.1.2 Evaluates the types of information systems used and the role they play in an organization.
|| || || || || || || || || || || || || || || || || | |
Difficulty: Easy ||
Learning Objective: 01-03 Explain the basic concepts of lean production and enterprise risk management.
|| || || || || || || || || || || || || | |
Topic: 01-18 Enterprise Risk Management
|| || || ||
7. Which of the following best describes the function of managerial accounting within an
|| || || || || || || || || || || || ||
organization?
A. It has its primary emphasis on the future.
|| || || || || || ||
B. It is required by regulatory bodies such as the Ontario Securities Commission.
|| || || || || || || || || || ||
C. It focuses on the organization as a whole, rather than on the organization's segments.
|| || || || || || || || || || || || ||
D. It places more emphasis on precision of data than financial accounting does.
|| || || || || || || || || || ||
Blooms: Remember ||
CPA Competency: 3.1.1 Evaluates management information requirements.
| || || || || ||
Difficulty: Easy
| | ||
Learning Objective: 01-02 Identify the major differences and similarities between financial and managerial accounting.
|| || || || || || || || || || || || ||
Topic: 01-10 Emphasis on the Future
| | || || || || ||
8. Upon which of the following does managerial accounting place considerable weight?
|| || || || || || || || || ||
A. Generally accepted accounting principles. | || ||
B. The financial history of the entity.
|| || || || ||
C. Ensuring that all transactions are properly recorded. || || || || || ||
D. Detailed segment reports about departments, products, and customers. || || || || || || ||
Blooms: Understand
||
CPA Competency: 3.1.1 Evaluates management information requirements.
| || || || || ||
Difficulty: Easy
| | ||
Learning Objective: 01-02 Identify the major differences and similarities between financial and managerial accounting.
|| || || || || || || || || || || || ||
Topic: 01-13 Segments of an Organization
| | || || || || ||
1-3
Copyright © 2018 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent
|| || || || | || || || || || || || || || || || ||
of McGraw-Hill Education. | | ||
