Practice | Define Managerial Accounting and Identify the Three Primary Responsibilities of Management

Q1 | The managers of an organization are responsible for performing several broad functions. They are ________.

planning, controlling, and selling

directing, controlling, and evaluating

planning, evaluating, and manufacturing

planning, controlling, and evaluating

Q2 | Management accountants help the management of an organization in their planning function through ________.

monitoring anti-theft systems

strategic planning

evaluating costs

analyzing profits

Q3 | Which of the following is a primary aspect of the evaluating function within an organization?

comparing actual results against expected results for products, departments, divisions, or the company as a whole

reviewing only the quantitative or financial results of the company

setting goals

putting controls in place for the upcoming year

Q4 | During the control function, the measurements taken of the performance must be accurate enough to see ________.

only positive results

deviations and variances

the primary focus

only the negative results

Q5 | Which of the following is false regarding strategic planning?

It is the sole responsibility of supervisors.

It will span many years.

It should include both short-term and long-term goals.

Strategic objectives will be diverse and vary from company to company.

Principles of Accounting Volume 2: Managerial Accounting