CHAPTER 1 INTRODUCTIONMultiple Choicea 1 The
CHAPTER 1: INTRODUCTION
Multiple Choice
a 1. The controller of a company or other organization is a. a staff manager. b. an operating manager. c. an accountant, not a manager. d. a natural manager.
c 2. Which item is NOT an IMA Standard for Ethical Conduct? a. Integrity. b. Competence. c. Loyalty. d. Objectivity. d 3. Which statement about the degree of detail in a report is true? a. It depends on the level of the manager receiving the report. b. It may depend on the frequency of the report. c. It depends on the type of manager receiving the report. d. All of the above. b 4. Managerial accounting is similar to financial accounting in that a. both are governed by generally accepted accounting principles. b. both deal with economic events. c. both concentrate on historical costs. d. both classify reported information in the same way. d 5. Managerial accounting differs from financial accounting in that it is a. more concerned with the future. b. more concerned with segments of a company. c. less constrained by rules and regulations. d. all of the above. b 6. One of the ways managerial accounting differs from financial accounting is that managerial accounting a. is bound by generally accepted accounting principles. b. classifies information in different ways. c. does not use financial statements. d. deals only with economic events.
d 7. Which activity is NOT normally performed by managerial accountants? a. Assisting managers to interpret data in managerial accounting reports. b. Designing systems to provide information for internal and external reports. c. Gathering data from sources other than the accounting system. d. Deciding the best level of inventory to be maintained. c 8. Conventional and just-in-time manufacturers both a. Maintain large inventories of their
Multiple Choice
a 1. The controller of a company or other organization is a. a staff manager. b. an operating manager. c. an accountant, not a manager. d. a natural manager.
c 2. Which item is NOT an IMA Standard for Ethical Conduct? a. Integrity. b. Competence. c. Loyalty. d. Objectivity. d 3. Which statement about the degree of detail in a report is true? a. It depends on the level of the manager receiving the report. b. It may depend on the frequency of the report. c. It depends on the type of manager receiving the report. d. All of the above. b 4. Managerial accounting is similar to financial accounting in that a. both are governed by generally accepted accounting principles. b. both deal with economic events. c. both concentrate on historical costs. d. both classify reported information in the same way. d 5. Managerial accounting differs from financial accounting in that it is a. more concerned with the future. b. more concerned with segments of a company. c. less constrained by rules and regulations. d. all of the above. b 6. One of the ways managerial accounting differs from financial accounting is that managerial accounting a. is bound by generally accepted accounting principles. b. classifies information in different ways. c. does not use financial statements. d. deals only with economic events.
d 7. Which activity is NOT normally performed by managerial accountants? a. Assisting managers to interpret data in managerial accounting reports. b. Designing systems to provide information for internal and external reports. c. Gathering data from sources other than the accounting system. d. Deciding the best level of inventory to be maintained. c 8. Conventional and just-in-time manufacturers both a. Maintain large inventories of their