Questions for review true of false

Question 1

the first step in management’s decision making process is to determine and evaluate possible course of action

Answer 1

false

the first step is identify the problemand assign repsonsibiltiy

Question 2

the final step in management’s decision making process is to actually make the decision

Answer 2

false

the final step is to review the results of the decision

Question 3

accoutning’s contribution to managment’s decision making process occurs primiarly in evauluting possible course of action and in reviewing the results

Answer 3

true

Question 4

in making business decsions, mamagmetn ordinarly considers only financial information because it is objectively determined

Answer 4

false

in making business decsions, management ordinarily considers both financial and non fianical information

Question 5

decisions involve a choice amoung alterntive courses of action

Answer 5

true

Question 6

the process used to identify the finiacal data that changed under alterntative courses of action is called incremental analysis

Answer 6

true

Question 7

costs that are the same under all alternative course ofa ction sometimes affect the decision

Answer 7

false

costs that are the same under all alternative courses fo action do not affect the decision

Question 8

when using incremental analysis, some costs will always change under alternative courses of action, but revenues will not

Answer 8

false

either costs or revenues or both will change under alternative courses of action

Question 9

variable costs will change under alterntive courses fo action but fc will not

Answer 9

false