1
,Test Bank Fundamental Managerial Accounting Concepts, 10th Edition by Edmonds
nz nz nz nz nz nz nz nz nz
Answers Included
nz
Chapter 01 10e
nz nz
1) Which of the following items are representative of managerial accounting?
nz nz nz nz nz nz nz nz nz
Note: Check all that apply.
nz nz nz nz
A) Financial statement in accordance with GAAP
nz nz nz nz nz
B) Monthly sales reports used internally to allocate funds to divisions
nz nz nz nz nz nz nz nz nz
C) Quarterly financial information sent to investors
nz nz nz nz nz
D) Audited financial statements submitted to bankers with credit application
nz nz nz nz nz nz nz nz
E) Budget projections used to make logistic decisions
nz nz nz nz nz nz
2) Which of the following costs are not included in the cost of manufacturing a product?
nz nz nz nz nz nz nz nz nz nz nz nz nz nz
Note: Check all that apply.
nz nz nz nz
A) Marketing
B) Production workers' wages nz nz
C) Factory janitor's wages
nz nz
D) CEO salary nz
E) Depreciation on manufacturing equipment nz nz nz
3) Which of the following is considered a downstream cost?
nz nz nz nz nz nz nz nz
Note: Check all that apply.
nz nz nz nz
A) Research and development nz nz
B) Production wages nz
C) Advertising cost nz
D) Warranty cost nz
E) Cost of internet in manufacturing plant
nz nz nz nz nz
4) Which of the following are examples of inventory holding costs?
nz nz nz nz nz nz nz nz nz
Note: Check all that apply.
nz nz nz nz
2
, A) Cost of warehouse space nz nz nz
B) Cost of shipping inventory to customers
nz nz nz nz nz
C) Research and development cost nz nz nz
D) Cost of supervising inventory
nz nz nz
E) Inventory spoilage cost nz nz
5) Ashley Bradshaw is the manager of one department in a large store. In this capacit
nz nz nz nz nz nz nz nz nz nz nz nz nz nz
y, which of the following kinds of information would she be interested in?
nz nz nz nz nz nz nz nz nz nz nz nz
A) Economic data nz
B) Financial data nz
C) Nonfinancial data nz
D) Financial, economic, and nonfinancial data nz nz nz nz
6) All of the following are features of managerial accountingexcept:
nz nz nz nz nz nz nz nz
A) information is provided primarily to insiders such as managers.
nz nz nz nz nz nz nz nz
B) information includes economic and non-financial data as well as financial data.
nz nz nz nz nz nz nz nz nz nz
C) information is characterized by objectivity, reliability, consistency, and accuracy.
nz nz nz nz nz nz nz nz
D) information is reported continuously with a present or future orientation.
nz nz nz nz nz nz nz nz nz
7) Choose the answer that isnot a distinguishing characteristic of financial accountin
nz nz nz nz nz nz nz nz nz nz
g information.
nz
A) It is global information that reflects the performance of the whole company.
nz nz nz nz nz nz nz nz nz nz nz
B) It is focused primarily on the future.
nz nz nz nz nz nz
C) It is more concerned with financial data than physical or economic data.
nz nz nz nz nz nz nz nz nz nz nz
D) It is more highly regulated than managerial accounting information.
nz nz nz nz nz nz nz nz
3
, 8) Managerial accounting information is limited or restricted by which of the followin
nz nz nz nz nz nz nz nz nz nz nz
g authorities or principles?
nz nz nz
A) Securities and Exchange Commissionnz nz nz
B) Generally Accepted Accounting Principles
nz nz nz
C) Managerial Accounting Standards Board nz nz nz
D) Value-Added Principle nz
9) Select theincorrect statement regarding the relationship between type of user and type
nz nz nz nz nz nz nz nz nz nz nz nz
of information.
nz
A) Middle managers need more nonfinancial, or operational data than do senio
nz nz nz nz nz nz nz nz nz nz
r executives.
nz
B) Assembly line supervisors need more immediate feedback on performance than d
nz nz nz nz nz nz nz nz nz nz
o senior executives.
nz nz
C) Senior executives need less aggregated information than do lower-level managers.
nz nz nz nz nz nz nz nz nz
D) Senior executives use general economic information as well as financial information.
nz nz nz nz nz nz nz nz nz nz
10) Which group would use managerial accounting data of XY Company?
nz nz nz nz nz nz nz nz nz
A) Stockholders
B) Managers
C) Executives
D) Both managers and executives
nz nz nz
E) All of the groups would use managerial accounting data
nz nz nz nz nz nz nz nz
11) Which of the following is a feature of managerial accounting information?
nz nz nz nz nz nz nz nz nz nz
4
,Test Bank Fundamental Managerial Accounting Concepts, 10th Edition by Edmonds
nz nz nz nz nz nz nz nz nz
Answers Included
nz
Chapter 01 10e
nz nz
1) Which of the following items are representative of managerial accounting?
nz nz nz nz nz nz nz nz nz
Note: Check all that apply.
nz nz nz nz
A) Financial statement in accordance with GAAP
nz nz nz nz nz
B) Monthly sales reports used internally to allocate funds to divisions
nz nz nz nz nz nz nz nz nz
C) Quarterly financial information sent to investors
nz nz nz nz nz
D) Audited financial statements submitted to bankers with credit application
nz nz nz nz nz nz nz nz
E) Budget projections used to make logistic decisions
nz nz nz nz nz nz
2) Which of the following costs are not included in the cost of manufacturing a product?
nz nz nz nz nz nz nz nz nz nz nz nz nz nz
Note: Check all that apply.
nz nz nz nz
A) Marketing
B) Production workers' wages nz nz
C) Factory janitor's wages
nz nz
D) CEO salary nz
E) Depreciation on manufacturing equipment nz nz nz
3) Which of the following is considered a downstream cost?
nz nz nz nz nz nz nz nz
Note: Check all that apply.
nz nz nz nz
A) Research and development nz nz
B) Production wages nz
C) Advertising cost nz
D) Warranty cost nz
E) Cost of internet in manufacturing plant
nz nz nz nz nz
4) Which of the following are examples of inventory holding costs?
nz nz nz nz nz nz nz nz nz
Note: Check all that apply.
nz nz nz nz
2
, A) Cost of warehouse space nz nz nz
B) Cost of shipping inventory to customers
nz nz nz nz nz
C) Research and development cost nz nz nz
D) Cost of supervising inventory
nz nz nz
E) Inventory spoilage cost nz nz
5) Ashley Bradshaw is the manager of one department in a large store. In this capacit
nz nz nz nz nz nz nz nz nz nz nz nz nz nz
y, which of the following kinds of information would she be interested in?
nz nz nz nz nz nz nz nz nz nz nz nz
A) Economic data nz
B) Financial data nz
C) Nonfinancial data nz
D) Financial, economic, and nonfinancial data nz nz nz nz
6) All of the following are features of managerial accountingexcept:
nz nz nz nz nz nz nz nz
A) information is provided primarily to insiders such as managers.
nz nz nz nz nz nz nz nz
B) information includes economic and non-financial data as well as financial data.
nz nz nz nz nz nz nz nz nz nz
C) information is characterized by objectivity, reliability, consistency, and accuracy.
nz nz nz nz nz nz nz nz
D) information is reported continuously with a present or future orientation.
nz nz nz nz nz nz nz nz nz
7) Choose the answer that isnot a distinguishing characteristic of financial accountin
nz nz nz nz nz nz nz nz nz nz
g information.
nz
A) It is global information that reflects the performance of the whole company.
nz nz nz nz nz nz nz nz nz nz nz
B) It is focused primarily on the future.
nz nz nz nz nz nz
C) It is more concerned with financial data than physical or economic data.
nz nz nz nz nz nz nz nz nz nz nz
D) It is more highly regulated than managerial accounting information.
nz nz nz nz nz nz nz nz
3
, 8) Managerial accounting information is limited or restricted by which of the followin
nz nz nz nz nz nz nz nz nz nz nz
g authorities or principles?
nz nz nz
A) Securities and Exchange Commissionnz nz nz
B) Generally Accepted Accounting Principles
nz nz nz
C) Managerial Accounting Standards Board nz nz nz
D) Value-Added Principle nz
9) Select theincorrect statement regarding the relationship between type of user and type
nz nz nz nz nz nz nz nz nz nz nz nz
of information.
nz
A) Middle managers need more nonfinancial, or operational data than do senio
nz nz nz nz nz nz nz nz nz nz
r executives.
nz
B) Assembly line supervisors need more immediate feedback on performance than d
nz nz nz nz nz nz nz nz nz nz
o senior executives.
nz nz
C) Senior executives need less aggregated information than do lower-level managers.
nz nz nz nz nz nz nz nz nz
D) Senior executives use general economic information as well as financial information.
nz nz nz nz nz nz nz nz nz nz
10) Which group would use managerial accounting data of XY Company?
nz nz nz nz nz nz nz nz nz
A) Stockholders
B) Managers
C) Executives
D) Both managers and executives
nz nz nz
E) All of the groups would use managerial accounting data
nz nz nz nz nz nz nz nz
11) Which of the following is a feature of managerial accounting information?
nz nz nz nz nz nz nz nz nz nz
4
