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Management Accounting Chapter 7

12 Questions
Account Management Quizzes & Trivia

Questions from power points

Questions and Answers
  • 1. 
     What does MACS generate and uses information to do what?
    • A. 

      To process the control and to have meaning and credibility to correct situations what were identified

    • B. 

      To help decision makers assess whether an organization is acheiving its objectives

    • C. 

      To help organizations to guide and motivate employees to achieve organizational objectives

  • 2. 
    What is a cost managemetn system?
    • A. 

      A central performance measurement systems at the core of a larger entity known as a management accounting and control system

    • B. 

      A central performance measurement systems at the core of a larger entity known as a performance assessment over the value chain

    • C. 

      A central performance measurement systems at the core of a larger entity known as a total life cycle costing system

  • 3. 
    The term 'control' in management accounting and control refers to the set of:
    • A. 

      Procedures, costs, tools, performance measures

    • B. 

      Performance measures, values, costs, systems

    • C. 

      Tools, systems, procedures, performance measures

  • 4. 
    What is used to guide and motivate all employees to achieve organizational objectives?
    • A. 

      Evaluation

    • B. 

      Value

    • C. 

      Control

  • 5. 
    How is it determined that a system is in control?
    • A. 

      If it is on the path to achieving its strategic objectives

    • B. 

      If it is on the path to guiding and motivating employees to achieve organizational objectives

    • C. 

      If it is the performance measures meet the organization's goal

  • 6. 
    What is needed for the process of control to have meaning and credibility?
    • A. 

      The organizations must have the ethical code of conduct into MACS design

    • B. 

      The organization must have the knowledge and ability to correct situations that it identifies as out of control

    • C. 

      The organization must have the feedback about the system's current level of performance

  • 7. 
    What are the five stages of the control cycle?
    • A. 

      Planning, consistency, execution, monitoring, evaluation

    • B. 

      Planning, execution, monitoring, evaluation, correction

    • C. 

      Planning, execution, benchmarking, evaluation, correction

  • 8. 
    What does planning consist of?
    • A. 

      Developing an organization's objectives, choosing activities to accomplish the objectives, selecting measures to determine how well the objectives were met

    • B. 

      Developing an organization's objectives, choosing the processes of measuring the objectives, selecting measures to determine how well the objectives were met

    • C. 

      Developing an organization's objectives, choosing activities to accomplish the objectives, selecting measures to determine if the system is in a control state

  • 9. 
    Exection is defined as what?
    • A. 

      The process of measuring the system's current level of performance

    • B. 

      The implementation of the plan

    • C. 

      Taking the appropriate actions to return the system to an in-control state

  • 10. 
    Monitoring is the process of what?
    • A. 

      Choosing activities to accomplish the objectives

    • B. 

      Taking the appropriate actions to return the system to an in-control state

    • C. 

      Measuring the system's current level of performance

  • 11. 
    Define evaluation.
    • A. 

      When feedback about the system's current level of performance is compared to the planned level so that any discrepancies can be identified and corrective action prescribed

    • B. 

      When measuring the system's current level of performance is compared to the planned level so that it can be determined how well the objectives were met

    • C. 

      When implementing the system's current level of performance is compared to the activities to accomplish the performance

  • 12. 
    Define correcting.
    • A. 

      Taking the appropriate actions to return the systems to the organization's objectives

    • B. 

      Taking the appropriate actions to return the systems to a state of in control

    • C. 

      Taking the appropriate actions to return the systems to the previous level of performance