Final Exam

Question 1

Financial Accounting

Answer 1

Represent financial performance for an external audience

Question 2

Managerial Accounting

Answer 2

Aid decision making for an internal audience

Question 3

Variable Costs

Answer 3

Vary w/ production and activity. Includes raw materials, packaging, utilities, etc.

Question 4

Fixed Costs

Answer 4

Don’t vary with activity. Includes rent, indirect labor, administration

Question 5

Overhead Accounts

Answer 5

Fixed costs for a business that cannot be charged to a single department, like rent or heating

Question 6

Full Cost Accounting

Answer 6

Identifying all EHS costs- all costs are allocated to products (throughout product life cycle) for current operations

Question 7

Total Cost Assessment

Answer 7

Evaluates investments into projects, capitol improvements, etc. - EHS costs using EHS cost data, appropriate time horizons, and standard financial indicators

Question 8

Direct Costs

Answer 8

Equipment, raw materials, labor, utilities, administration

Question 9

Hidden Costs

Answer 9

Time to manage EHS compliance, EHS fines and penalties, workers compensation

Question 10

Contingent Liability Costs

Answer 10

Potential future workers comp or insurance costs.Future fines.

Question 11

Benefits of EHS accounting

Answer 11

Reduce EHS costs, improve EHS performance, gain competetive advantage, promote accurate product pricing.

Question 12

Typical Uses of EHS Accounting

Answer 12

Decision making, cost control initiatives, choosing waste management, choosing raw materials.

Question 13

Examples of Lagging Indicators

Answer 13

Pounds of haz waste generated, permit violations amounts and costs, number of incidents.

Question 14

Examples of Leading Indicators

Answer 14

Audits completed, employees completed training, haz waste storage area inspections completed, percentage of job descriptions updated to reflect ehs duties.

Question 15

Types of Performance

Answer 15

Compliance, environmental impacts, policy implementation, accomplishing targets, control of mgmt system, control of operations, continual improvement.

Question 16

ISO 14031

Answer 16

Environmental Performance Indicators

Question 17

Two Categories of Environmental Performance Indicators

Answer 17

Environmental Condition Indicators and Environmental Performance Indicators

Question 18

Environmental Performance Indicators

Answer 18

Management Performance Indicators and Operational Performance Indicators

Question 19

Management Performance Indicators

Answer 19

EPI providing info about managerial activities and how they influence performance. Track management effectiveness for environmental programs.

Question 20

Operational Performance Indicators

Answer 20

Material flows, physical inputs and outputs, setup of facility,

Question 21

Steps to Evaluating Environmental Performance

Answer 21

Collecting data, analyzing data, evaluating information, reporting and communicating

Question 22

Audit

Answer 22

Systematic, documented process of verifying that an organization is conforming to environmental or ehs standards

Question 23

Two components of auditing

Answer 23

Assessment and Verification

Question 24

Assessment

Answer 24

Judgement and opinion on hazards, controls, and management

Question 25

verification

Answer 25

Determining and documenting performance or compliance with criteria

Question 26

Compliance audits

Answer 26

measure performance against legislative or internal standards

Question 27

Management systems audits

Answer 27

verify existence of mgmt system, verify mgmt system conforms to standards, verify the system is implemented and effective

Question 28

Audit limitations

Answer 28

Snapshot in time, limited ability to predict the future and find everything