Managerial Accounting 5th Edition Test Bank by Whitecotton | Complete Practice & Study Guide

TestjBankjforjManagerialjAccounting,j5thjEditionjbyjStaceyjWhitecotton


AnswersjIncluded
Chapterj01j5e
TRUE/FALSEj-jWritej'T'jifjthejstatementjisjtruejandj'F'jifjthejstatementjisjfalse.
1) Financialjaccountingjinformationjisjgenerallyjusedjexclusivelyjbyjinternaljpartiesjsuchjasjm
anagers.
⊚ true
⊚ false


2) Financialjaccountingjinformationjisjreportedjforjthejcompanyjasjajwhole.
⊚ true
⊚ false


3) Managersjmustjdirect,jlead,jandjmotivatejduringjthejimplementationjfunction.
⊚ true
⊚ false


4) Managersjofjsmall,jprivatejcorporationsjusejmanagerialjaccountingjinformation,jwhereasjm
anagersjofjlarge,jpublicjcorporationsjusejfinancialjaccountingjinformation.
⊚ true
⊚ false


5) ThejSarbanes-
OxleyjActjofj2002jplacesjfulljresponsibilityjonjthejboardjofjdirectorsjforjthejaccuracyjofjthejrepor
tingjsystem.
⊚ true
⊚ false


6) ThejSarbanes-
OxleyjActjofj2002jfocusesjonjthreejfactorsjthatjaffectjthejaccountingjreportingjenvironment:j
ethics,jfraud,jandjmanagement.
⊚ true
⊚ false


7) Ajsustainablejbusinessjisjonejwithjthejabilityjtojmeetjthejneedsjofjtodayjwithoutjsac
rificingjthejabilityjofjfuturejgenerationsjtojmeetjtheirjownjneeds.

1

, ⊚ true
⊚ false


8) Thejtermj"bigjdata"jrefersjtojthejvolume,jvelocity,jandjveracityjofjdata.
⊚ true
⊚ false


9) Predictivejanalyticsjisjthejprocessjofjrecommendingjajcoursejofjactionjbasedjuponjm
eaningfuljpatternsjandjinsightsjfromjcollectedjdata.
⊚ true
⊚ false


10) Descriptivejanalyticsjusesjpatternsjandjinsightsjfromjcollectedjdatajtojshowjwhatjhasjha
ppened.
⊚ true
⊚ false


11) Anjopportunityjcostjisjthejcostjofjnotjdoingjsomething.
⊚ true
⊚ false


12) Whetherjajcostjisjtreatedjasjdirectjorjindirectjdependsjonjwhetherjtracingjthejcostjisjbothjpos
siblejandjpractical.
⊚ true
⊚ false


13) Variablejcostsjarejalwaysjdirectjcosts.
⊚ true
⊚ false


14) Fixedjcostsjstayjthejsame,jonjajper-unitjbasis,jasjactivityjleveljchanges.
⊚ true
⊚ false


2

,15) Primejcostsjincludejdirectjmaterials,jdirectjlabor,jandjmanufacturingjoverhead.
⊚ true
⊚ false


16) Alljmanufacturingjcostsjarejtreatedjasjproductjcosts.
⊚ true
⊚ false


17) Alljmanufacturingjcostsjarejinventoriablejcosts.
⊚ true
⊚ false


18) Ajcostjthatjwilljoccurjinjthejfuturejandjdiffersjbetweenjvariousjalternativesjunderjco
nsiderationjisjajrelevantjcost.
⊚ true
⊚ false


19) ManagerialjaccountingjinformationjisjmandatedjbyjthejSECjandjotherjregulatoryja
gencies.
⊚ true
⊚ false


20) Managerialjaccountingjinformationjisjconsideredjproprietaryjinjnature.
⊚ true
⊚ false


21) Opportunityjcostsjoccurjinjbusinessjwhenjresourcesjarejconstrained.
⊚ true
⊚ false




3

, MULTIPLEjCHOICEj-
jChoosejthejonejalternativejthatjbestjcompletesjthejstatementjorjanswersjthejquestion.

22) Whatjisjthejprimaryjgoaljofjaccounting?

A) Tojsetjlong-termjgoalsjandjobjectives
B) Tojarrangejforjthejnecessaryjresourcesjtojachievejajplan
C) Tojprovidejinformationjforjdecision-making
D) Tojmotivatejothersjtojworkjtowardsjajplan'sjsuccess



23) Ofjthejfollowingjgroups,jwhichjisjthejprimaryjuserjofjmanagerialjaccountingjin
formation?

A) Investors
B) Creditors
C) Regulators
D) Managers



24) Managerialjaccounting,jasjcomparedjtojfinancialjaccounting,jisjprimarilyjintendedjtojfa
cilitate:

A) understandingjthejGAAP.
B) makingjdecisionsjwithjtimely,jrelevantjinformation.
C) conductingjethicsjinvestigationsjunderjSOX.
D) reportingjresultsjtojshareholders.



25) Managerialjaccountingjinformationjincludesjalljofjthejfollowingjexcept:

A) budgets.
B) performancejevaluations,jforjexample,jbudget-to-actualjreports.
C) costjreports.
D) financialjstatementsjpreparedjinjaccordancejwithjgenerallyjacceptedjaccountingjp
rinciples.



26) Whichjofjthejfollowingjisjnotjajcharacteristicjofjfinancialjaccounting?


4