,Created By: A Solution
Answer: FALSE Diff: 1
LO: 1-1 EOC: QC1-1
AACSB: Reflective thinking
Learning Outcome: Describe the basics of managerial accounting and its function within an
organization.
5) Planning, directing, and controlling are a managerʹs three primary decision-making
responsibilities. Answer: TRUE
Diff: 1
LO: 1-1 EOC: QC1-1
AACSB: Reflective thinking
Learning Outcome: Describe the basics of managerial accounting and its function within an
organization.
6) Directing means setting goals and objectives for the company and determining how to
achieve them. Answer: FALSE
Diff: 1
LO: 1-1 EOC: S1-1
AACSB: Reflective thinking
Learning Outcome: Describe the basics of managerial accounting and its function within an
organization.
7) Budgets are the quantitative expression of managementʹs plans. Answer: TRUE
Diff: 1
LO: 1-1 EOC: S1-1
AACSB: Reflective thinking
Learning Outcome: Describe the basics of managerial accounting and its function within an
organization.
8) gathers, summarizes, and reports on the financial impact of changes to business
operations.
A) Managerial accounting
B) Planning
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C) Directing
D) Controlling Answer: A Diff: 2
LO: 1-1 EOC: S1-1
AACSB: Reflective thinking
Learning Outcome: Describe the basics of managerial accounting and its function within an
organization.
9) Creating budgets are part of which primary management responsibility?
A) Controlling
B) Planning
C) Managerial accounting
D) Directing Answer: B Diff: 2
LO: 1-1 EOC: S1-1
AACSB: Reflective thinking
Learning Outcome: Describe the basics of managerial accounting and its function within an
organization.
10) Which of the following is not one of the primary responsibilities of management?
A) Adhering to GAAP
B) Planning
C) Directing
D) Controlling Answer: A Diff: 2
LO: 1-1 EOC: S1-1
AACSB: Reflective thinking
Learning Outcome: Describe the basics of managerial accounting and its function within an
organization.
11) Planning involves which of the following activities?
A) Evaluating the results of operations
B) Overseeing the companyʹs day-to-day operations
C) Setting goals and objectives for the company
D) None of the above Answer: C
A+ Page 3
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Diff: 1
LO: 1-1 EOC: S1-1
AACSB: Reflective thinking
Learning Outcome: Describe the basics of managerial accounting and its function within an
organization.
12) Which of the following is being fulfilled when management compares the budget to
actual results?
A) Directing
B) Planning
C) Adjusting
D) Controlling Answer: D Diff: 2
LO: 1-1 EOC: S1-1
AACSB: Reflective thinking
Learning Outcome: Describe the basics of managerial accounting and its function within an
organization.
13) When management uses feedback to take corrective action on the budgets, which of the
following management responsibilities are being fulfilled?
A) Controlling
B) Adjusting
C) Directing
D) Planning Answer: A Diff: 2
LO: 1-1 EOC: S1-1
AACSB: Reflective thinking
Learning Outcome: Describe the basics of managerial accounting and its function within an
organization.
14) When management analyzes whether to move production to another country or to keep
the production located where it currently is, which of the following management responsibilities
is being performed?
A) Adjusting
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Answer: FALSE Diff: 1
LO: 1-1 EOC: QC1-1
AACSB: Reflective thinking
Learning Outcome: Describe the basics of managerial accounting and its function within an
organization.
5) Planning, directing, and controlling are a managerʹs three primary decision-making
responsibilities. Answer: TRUE
Diff: 1
LO: 1-1 EOC: QC1-1
AACSB: Reflective thinking
Learning Outcome: Describe the basics of managerial accounting and its function within an
organization.
6) Directing means setting goals and objectives for the company and determining how to
achieve them. Answer: FALSE
Diff: 1
LO: 1-1 EOC: S1-1
AACSB: Reflective thinking
Learning Outcome: Describe the basics of managerial accounting and its function within an
organization.
7) Budgets are the quantitative expression of managementʹs plans. Answer: TRUE
Diff: 1
LO: 1-1 EOC: S1-1
AACSB: Reflective thinking
Learning Outcome: Describe the basics of managerial accounting and its function within an
organization.
8) gathers, summarizes, and reports on the financial impact of changes to business
operations.
A) Managerial accounting
B) Planning
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,Created By: A Solution
C) Directing
D) Controlling Answer: A Diff: 2
LO: 1-1 EOC: S1-1
AACSB: Reflective thinking
Learning Outcome: Describe the basics of managerial accounting and its function within an
organization.
9) Creating budgets are part of which primary management responsibility?
A) Controlling
B) Planning
C) Managerial accounting
D) Directing Answer: B Diff: 2
LO: 1-1 EOC: S1-1
AACSB: Reflective thinking
Learning Outcome: Describe the basics of managerial accounting and its function within an
organization.
10) Which of the following is not one of the primary responsibilities of management?
A) Adhering to GAAP
B) Planning
C) Directing
D) Controlling Answer: A Diff: 2
LO: 1-1 EOC: S1-1
AACSB: Reflective thinking
Learning Outcome: Describe the basics of managerial accounting and its function within an
organization.
11) Planning involves which of the following activities?
A) Evaluating the results of operations
B) Overseeing the companyʹs day-to-day operations
C) Setting goals and objectives for the company
D) None of the above Answer: C
A+ Page 3
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, Created By: A Solution
Diff: 1
LO: 1-1 EOC: S1-1
AACSB: Reflective thinking
Learning Outcome: Describe the basics of managerial accounting and its function within an
organization.
12) Which of the following is being fulfilled when management compares the budget to
actual results?
A) Directing
B) Planning
C) Adjusting
D) Controlling Answer: D Diff: 2
LO: 1-1 EOC: S1-1
AACSB: Reflective thinking
Learning Outcome: Describe the basics of managerial accounting and its function within an
organization.
13) When management uses feedback to take corrective action on the budgets, which of the
following management responsibilities are being fulfilled?
A) Controlling
B) Adjusting
C) Directing
D) Planning Answer: A Diff: 2
LO: 1-1 EOC: S1-1
AACSB: Reflective thinking
Learning Outcome: Describe the basics of managerial accounting and its function within an
organization.
14) When management analyzes whether to move production to another country or to keep
the production located where it currently is, which of the following management responsibilities
is being performed?
A) Adjusting
A+ Page 4
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