Chapter 1 Managerial Accounting an
Overview
Financial Accounting - correct answer-concerned with reporting financial information to to
external parties such as stockholders, creditors and regulators
Managerial Accounting - correct answer-concerned with providing information to managers
for use within the organisation
GAAP - correct answer-Generally accepted accounting principles
IFRS - correct answer-International financial reporting standards
What three vital activities does managerial accounting help perform? - correct
answer-planning, controlling, and decision making
Three questions in data driven decisions? - correct answer-What should we be selling?
Who should we be serving?
How should we execute?
IMA - correct answer-institute of management accountants
3 customer value propositions - correct answer-1. customer intimacy 2. operational
excellence 3. product leadership
Customer intimacy strategy - correct answer-This strategy focuses on customizing products
to meet consumers individual needs better than competitors Ex (Walmart)
Operational Excellence strategy - correct answer-Strategy focuses on delivering products
and services faster, more conveniently and at a lower price than our competitors Ex
(Walmart)
Product Leadership Strategy - correct answer-Strategy focuses on providing higher quality
products than competitors Ex (apple)
Just in time producing (JIT) - correct answer-products are only manufactured in response to
customer orders as they are completed just in time to be shipped to customers.
Intrinsic Motivation - correct answer-motivation that comes from within us to complete goals
Extrinsic Motivation - correct answer-Incentives companies use to motivate their employees
such as bonus compensation if a task is completed efficiently by a deadline
Cognitive Bias - correct answer-biases that all people posses that can distort thought
process, adversely affect planning, controlling, and decision making.
Overview
Financial Accounting - correct answer-concerned with reporting financial information to to
external parties such as stockholders, creditors and regulators
Managerial Accounting - correct answer-concerned with providing information to managers
for use within the organisation
GAAP - correct answer-Generally accepted accounting principles
IFRS - correct answer-International financial reporting standards
What three vital activities does managerial accounting help perform? - correct
answer-planning, controlling, and decision making
Three questions in data driven decisions? - correct answer-What should we be selling?
Who should we be serving?
How should we execute?
IMA - correct answer-institute of management accountants
3 customer value propositions - correct answer-1. customer intimacy 2. operational
excellence 3. product leadership
Customer intimacy strategy - correct answer-This strategy focuses on customizing products
to meet consumers individual needs better than competitors Ex (Walmart)
Operational Excellence strategy - correct answer-Strategy focuses on delivering products
and services faster, more conveniently and at a lower price than our competitors Ex
(Walmart)
Product Leadership Strategy - correct answer-Strategy focuses on providing higher quality
products than competitors Ex (apple)
Just in time producing (JIT) - correct answer-products are only manufactured in response to
customer orders as they are completed just in time to be shipped to customers.
Intrinsic Motivation - correct answer-motivation that comes from within us to complete goals
Extrinsic Motivation - correct answer-Incentives companies use to motivate their employees
such as bonus compensation if a task is completed efficiently by a deadline
Cognitive Bias - correct answer-biases that all people posses that can distort thought
process, adversely affect planning, controlling, and decision making.
