Test Bank for Horngren's Financial & Managerial AccountingThe Managerial Chapters, 7th edition by Miller-Nobles

1m
Copyrightm©m2021mPearsonmEducation,mInc.m
FinancialmandmManagerialmAccounting:mManagerialmChapters,m7em(Miller-Nobles)m
ChaptermM:1mmmIntroductionmtomManagerialmAccountingmm
m

LearningmObjectivemM:1-1m
m

1)mManagerialmaccountingmfocusesmonmprovidingminformationmforminternalmplanningmandmco
ntrol.m
Answer:mmTRUEm
Diff:m1m
LO:mmM:1-1m
AACSB:mmApplicationmof mknowledgem
AICPAmFunctional:mmReportingm
PEmQuestionmType:mmConceptm
H2:mmWhy mIsmManagerialmAccountingmImportant?m(H1)m
m

2)mFinancialmaccountingmpreparesmreportsmforminternalmpurposes,mwhereasmmanagerialmacc
ountingmprovidesm
informationmtomexternalmstakeholders.m
Answer:mmFALSEm
Explanation:mmThemreversemismtrue.mFinancialmaccountingmservesmexternalmstakeholderminfor
mationmneedsm
whilemmanagerialmaccountingmservesmthemneedsmof mmanagersmandminternalmstaff.m
Diff:m1m
LO:mmM:1-1m
AACSB:mmApplicationmof mknowledgem
AICPAmFunctional:mmReportingm
PEmQuestionmType:mmConceptm
H2:mmWhy mIsmManagerialmAccountingmImportant?m(H1)m
m

3)mFinancialmstatementsmpreparedmforminvestorsmandmcreditorsmoftenmincludemforward-
lookingminformationm
becausemthey mmakemdecisionsmbasedmonmamcompany'smfuturemprospects.m
Answer:mmFALSEm
Explanation:mmFinancialmstatementsmprovidemmostly mhistoricalminformation;mrelevantmandmf
aithfully m
representativeminformationmandmfocusedmonmthempast.m
Diff:m1m
LO:mmM:1-1m
AACSB:mmApplicationmof mknowledgem
AICPAmFunctional:mmReportingm
PEmQuestionmType:mmConceptm
H2:mmWhy mIsmManagerialmAccountingmImportant?m(H1)m
m

4)mManagerialmaccountingmreportingmby mampublic mfirmmismrequiredmtomfollowmthemrulesmof mG

,AAP.mm
Answer:mmFALSEm
Explanation:mmManagerialmaccountingminformationmismnotmguidedmbymGAAP mbutmrathermbymt
hemconceptmof m
usefulnessmtommanagementmformdecisionmmakingmpurposes.m
Diff:m1m
LO:mmM:1-1m
AACSB:mmApplicationmof mknowledgem
AICPAmFunctional:mmReportingm
PEmQuestionmType:mmConceptm
H2:mmWhy mIsmManagerialmAccountingmImportant?m(H1)m
m
m
m

DOWNLOADmTHEmTestmBankmformHorngrensmFinancialmandmManagerial
mmmmAccountingmThemManagerialmChaptersm7thmEditionmNobles

nursytestbank.store
2m
Copyrightm©m2021mPearsonmEducation,mInc.m
5)mFinancialmreportingmismtypically mmuchmmoremdetailedmthanmmanagerialmaccounting.m
Answer:mmFALSEm
Explanation:mmFinancialmreportingmismtypically mlessmdetailedmthanmmanagerialmaccountingmin
formation.m
Financialmaccountingmreportingmismusually msummary mreports,mpreparedmprimarily monmthemc
ompany masmam
whole,musually monmamquarterly mormannualmbasis.m
Diff:m1m
LO:mmM:1-1m
AACSB:mmApplicationmof mknowledgem
AICPAmFunctional:mmReportingm
PEmQuestionmType:mmConceptm
H2:mmWhy mIsmManagerialmAccountingmImportant?m(H1)m
m

6)mManagerialmaccountingmprovidesmfinancialmstatementsmthatmreportmresultsmof moperations
,mfinancialm
position,mandmcashmflowsmbothmtommanagersmandmtomexternalmstockholders.mm
Answer:mmFALSEm
Explanation:mmManagerialmaccountingmprovidesmtheminformationmneededmtomplanmandmcontr
olmoperationsm
andmthereforemservesmtheminformationmneedsmof minternalmpartiesmsuchmasmmanagersmandmst
aff.m
Diff:m1m
LO:mmM:1-1m
AACSB:mmApplicationmof mknowledgem
AICPAmFunctional:mmReportingm
PEmQuestionmType:mmConceptm

,H2:mmWhy mIsmManagerialmAccountingmImportant?m(H1)m
m

7)mWhichmof mthemfollowingmismamfocusmof mmanagerialmaccounting?m
A)mtomgeneratemamcompany'smfinancialmstatementsmformtaxmreportingm
B)mtomprovideminformationmtombusinessmmanagersmtomassistmthem minmcontrollingmtheirmbusi
nessesm
C)mtomprovideminformationmtomshareholdersmtomassistmthem mwithmtheirminvestmentmdecision
sm
D)mtomensuremthatmthemreportsmproducedmforminternalmandmexternalmbusinessmpurposesmare
mGAAP mcompliantm

Answer:mmBm
Diff:m1m
LO:mmM:1-1m
AACSB:mmApplicationmof mknowledgem
AICPAmFunctional:mmReportingm
PEmQuestionmType:mmConceptm
H2:mmWhy mIsmManagerialmAccountingmImportant?m(H1)m
m

8)mWhichmof mthemfollowingmstatementsmismtruemof mmanagerialmaccounting?m
A)mThemexternalmstakeholdersmof mamcompany maremthemprimary musersmof mmanagerialmaccoun
ting.m
B)mManagerialmaccountingminformationmismusedmtomhelpmmanagersmplan,mdirectmandmcontrol
mtheirmoperations.m

C)mAnmexternalmauditmbymanmindependentmCPAmismrequiredmformmanagerialmaccountingminfo
rmation.m
D)mManagerialmaccountingminformationmmustmcomplymwithmGenerally mAcceptedmAccounting
mPrinciples.m

Answer:mmBm
Diff:m1m
LO:mmM:1-1m
AACSB:mmApplicationmof mknowledgem
AICPAmFunctional:mmReportingm
PEmQuestionmType:mmConceptm
H2:mmWhy mIsmManagerialmAccountingmImportant?m(H1)m
m
m
m

DOWNLOADmTHEmTestmBankmformHorngrensmFinancialmandmManagerial
mmmmAccountingmThemManagerialmChaptersm7thmEditionmNobles

nursytestbank.store
3m
Copyrightm©m2021mPearsonmEducation,mInc.m
9)mManagerialmaccountingminformationmformamcompany mismprimarily musedmbym________.m
A)mitsmcustomersmtomunderstandmthempricingmof mthemproductm
B)mitsmcreditorsmtomunderstandmthemcredibility mof mthembusinessm
C)mitsmemployeesmtomplan,mdirectmandmcontrolmoperationsm

, D)mitsminvestorsmtommakemtheirminvestmentmdecisionsm
Answer:mmCm
Diff:m1m
LO:mmM:1-1m
AACSB:mmApplicationmof mknowledgem
AICPAmFunctional:mmReportingm
PEmQuestionmType:mmConceptm
H2:mmWhy mIsmManagerialmAccountingmImportant?m(H1)m
m

10)mWhichmof mthemfollowingmstatementsmismtruemof mfinancialmaccounting?m
A)mItmprovidesminformationmtominvestorsmneededmformtheirminvestmentmdecisions.m
B)mItmprovidesmfuturemfocusedminformationmneededmformmanagingmandmdelegatingmoperatio
ns.m
C)mItmfocusesmonmdetailedmreportsmformpartsmofmthemcompany mrathermthanmthemwholemcompa
ny.m
D)mItmfocusesmonmplanning,mdirectingmandmcontrollingmday-to-day moperations.m
Answer:mmAm
Diff:m1m
LO:mmM:1-1m
AACSB:mmApplicationmof mknowledgem
AICPAmFunctional:mmReportingm
PEmQuestionmType:mmConceptm
H2:mmWhy mIsmManagerialmAccountingmImportant?m(H1)m
m

11)mWhichmof mthemfollowingmismthemprimary mfocusmof mmanagerialmaccounting?m
A)mprovidingminformationmthatmmanagersmneedmtommakemoperationalmdecisionsm
B)mprovidingmhistoricalmdatamtominvestorsmandmcreditorsm
C)mprovidingmsummarizedmresultsmof moperationsm
D)mprovidingminformationmtomcomply mwithmlawsmandmregulationsmof mgovernmentmbodiesm
Answer:mmAm
Diff:m1m
LO:mmM:1-1m
AACSB:mmApplicationmof mknowledgem
AICPAmFunctional:mmReportingm
PEmQuestionmType:mmConceptm
H2:mmWhy mIsmManagerialmAccountingmImportant?m(H1)m
m

12)mWhichmof mthemfollowingmismthemprimary mfocusmof mfinancialmaccounting?m
A)mprovidingminformationmthatmmanagersmneedmtommakemoperationalmdecisionsm
B)mprovidingmsummarizedminformationmonmoperationalmresultsmtominvestorsmandmcreditorsm
C)mprovidingminformationmtommanagersmtomassistminmplanning,mdirectingmandmcontrollingmop
erationsm
D)mprovidingmhighly mdetailedminformationmonmproductmlines,mregions,mandmdivisionsm
Answer:mmBm
Diff:m1m