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Flashcards in exam 1 Deck (19)
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1

which is not an objective of managerial accounting

. To prepare external reports for investors, creditors, government agencies, and other outside users.

2

Managerial accounting

has no mandatory rules

3

financial accounting

a. Is concerned with the information about the firm as a whole.
b. Focuses on external users.
c. Has to adhere to GAAP policies.
d. All of these choices are correct.
*D*

4

The controller of an organization participates in

a. Controlling.
b. Decision making.
c. Planning.
d. All of these choices are correct.

*D*

5

Which of the following is not an objective of managerial accounting?

To prepare external reports for investors, creditors, government agencies, and other outside users.

6

Accountants that have a Certificate in Public Accounting (CPA):

a. Are the only accountants permitted to serve as external auditors.
b. Must pass a national examination and be licensed by the state in which they practice.
c. May be held responsible to provide assurance concerning the reliability of a firm's financial statements.
d. All of these statements are true.

*D*

7

Expired costs are called

expenses

8

An indirect cost

is hard to trace

9

A variable cost in total


d. Increases as output increases and decreases as output decreases.

10

Cost is:

The amount of cash or cash equivalent sacrificed for goods and/or services that are expected to bring a current or future benefit to the organization.

11

Price is not:

the same as cost

12

Non-manufacturing costs include

marketing and administration

13

Which of the following would not be a period cost?

direct materials

14

The provision of accounting information for internal users is known as

managerial accounting

15

Setting objectives and identifying methods to achieve those objectives is called

planning

16

Check My Work
The process of choosing among competing alternatives is called

decision making

17

In terms of strategic positioning, which two general strategies may be chosen by a company?

In terms of strategic positioning, which two general strategies may be chosen by a company?

18

Check My Work
Which of the following is not a common form of certification for managerial accountants?

Certificate in Inventory Contro

19

The chief accounting officer for a firm is the

controller