1) Management accounting:
A) focuses on estimating future revenues, costs, and other measures to forecast activities and their
results
B) provides
... [Show More] information about the company as a whole
C) reports information that has occurred in the past that is verifiable and reliable
D) provides information that is generally available only on a quarterly or annual basis
Answer: A
Diff: 2
Terms: treasury
Objective: 1
AACSB: Reflective thinking
2) Managers use management accounting information to ________ strategy.
A) choose
B) communicate
C) implement
D) All of these answers are correct.
Answer: D
Diff: 1
Terms: total quality management (TQM)
Objective: 1
AACSB: Analytical skills
3) Financial accounting:
A) focuses on the future and includes activities such as preparing next year's operating budget
B) must comply with GAAP (generally accepted accounting principles)
C) reports include detailed information on the various operating segments of the business such as
product lines or departments
D) is prepared for the use of department heads and other employees
Answer: B
Diff: 2
Terms: financial accounting
Objective: 1
AACSB: Reflective thinking
2
Copyright © 2012 Pearson Education, Inc.
4) The person most likely to use ONLY financial accounting information is a:
A) factory shift supervisor
B) vice president of operations
C) current shareholder
D) department manager
Answer: C
Diff: 1
Terms: financial accounting
Objective: 1
AACSB: Analytical skills
5) Which of the following people is LEAST likely to use management accounting information?
A) the controller
B) a shareholder evaluating a stock investment
C) the treasurer
D) an assembly department supervisor
Answer: B
Diff: 1
Terms: treasury
Objective: 1
AACSB: Analytical skills
6) Financial accounting provides the primary source of information for:
A) decision making in the finishing department
B) improving customer service
C) preparing the income statement for shareholders
D) planning next year's operating budget
Answer: C
Diff: 2
Terms: financial accounting
Objective: 1
AACSB: Reflective thinking
7) Which of the following descriptors refers to management accounting information?
A) It is verifiable and reliable.
B) It is driven by rules.
C) It is prepared for shareholders.
D) It provides reasonable and timely estimates.
Answer: D
Diff: 2
Terms: treasury
Objective: 1
AACSB: Reflective thinking [Show Less]