Question 1

Line managers are directly responsible for achieving organizational goals.

Accepted Answer

Line managers are responsible for managing and directing their team to achieve organizational goals. They are accountable for their team's performance and are the primary link between senior management and their team.

Question 2

The learning and growth perspective of the balanced scorecard focuses on using an organization's intellectual capital to adapt to or influence customer needs and expectations.

Accepted Answer

The learning and growth perspective of the balanced scorecard is focused on building and enhancing an organization's human capital, information capital, and organizational capital. This is done in order to support adaptation and improvement in all other areas of the organization, including meeting customer needs and expectations.

Question 3

Managerial accounting is most concerned with addressing the needs of the firm as a whole.

Accepted Answer

Managerial accounting focuses on providing information to internal users, such as managers, to assist in planning, controlling, and decision-making for specific departments or segments of the organization, rather than the firm as a whole.

Question 4

Mission statements typically remain unchanged throughout the life of an organization.

Accepted Answer

Mission statements should be periodically reviewed and revised as the organization evolves and changes.

Question 5

An organization's strategy is the guiding force for its mission.

Accepted Answer

The answer of An organization's strategy is the guiding force...

Question 6

Financial accounting is most concerned with meeting the needs of internal users.

Accepted Answer

Financial accounting is primarily concerned with meeting the needs of external users, such as investors, creditors, and government regulatory agencies. Internal users, such as managers and employees, may also use financial accounting information, but it is not the primary focus.

Question 7

Financial accounting is most concerned with addressing the needs of the firm as a whole.

Accepted Answer

The answer of Financial accounting is most concerned with addressing...

Question 8

Managerial accounting is most concerned with addressing the needs of individual departments of the firm.

Accepted Answer

Managerial accounting focuses on providing information to internal users, such as department managers, to assist in planning, controlling, and decision-making specific to their departmental needs.

Question 9

Managerial accounting is highly regulated by rules and regulations.

Accepted Answer

While there are some regulations that impact managerial accounting, it is generally less regulated than financial accounting, which must adhere to strict reporting standards such as GAAP (Generally Accepted Accounting Principles) and IFRS (International Financial Reporting Standards). Managerial accounting is more focused on providing information for internal decision-making and does not have to follow as many strict regulations.

Question 10

The Sarbanes-Oxley Act of 2002 provides legal protection for individuals who report illegal organizational activities to appropriate persons or agencies.

Accepted Answer

The Sarbanes-Oxley Act of 2002 includes whistleblower protections for individuals who report illegal organizational activities to the appropriate authorities.

Question 11

Line personnel give assistance to staff employees.

Accepted Answer

Line personnel perform tasks that are directly related to accomplishing the organization's primary goals, whereas staff employees provide support, advice, and assistance to line personnel.

Question 12

Financial accounting is most concerned with addressing the needs of individual departments of the firm.

Accepted Answer

Financial accounting is concerned with providing information to external stakeholders like investors, creditors, and regulatory authorities. It is not focused on addressing the needs of specific departments within a firm.

Question 13

Managerial accounting is most concerned with meeting the needs of internal users.

Accepted Answer

Managerial accounting is primarily concerned with providing information to internal users such as managers, executives, and employees to make informed business decisions. This information is not intended for external stakeholders such as investors or creditors.

Question 14

Financial accounting is highly regulated by rules and regulations.

Accepted Answer

Financial accounting is highly regulated by various rules and regulations such as GAAP (Generally Accepted Accounting Principles) or IFRS (International Financial Reporting Standards). These regulations ensure uniformity in accounting practices and provide transparency in financial reporting for investors and stakeholders.

Question 15

Financial accounting is most concerned with meeting the needs of external users.

Accepted Answer

Financial accounting is primarily focused on providing financial information to external users such as investors, creditors, and regulatory authorities. It aims to provide information that is relevant, reliable, and comparable so that external users can make informed decisions. Internal users, on the other hand, rely on management accounting for decision-making purposes.

Question 16

The Foreign Corrupt Practices Act of 1977 provides legal protection for individuals who report illegal organizational activities to appropriate persons or agencies.

Accepted Answer

The Foreign Corrupt Practices Act of 1977 primarily addresses the issue of bribery of foreign officials by American companies to obtain or retain business, rather than providing legal protection for whistleblowers. Whistleblower protections are covered under different laws, such as the Sarbanes-Oxley Act or the Dodd-Frank Act.

Question 17

Cost accounting serves as a bridge between financial and managerial accounting.

Accepted Answer

Cost accounting provides information to managers for decision-making and helps in monitoring and controlling costs, which is not the primary focus of financial accounting. Therefore, cost accounting plays a vital role in connecting financial accounting and managerial accounting.

Question 18

Return on investment was used in the 1900's to evaluate business operations.

Accepted Answer

Return on investment (ROI) has been used since the 1900s to evaluate the profitability of business operations.

Question 19

Financial accounting is most concerned with meeting the needs of external users.

Accepted Answer

Financial accounting primarily focuses on providing financial information to external users such as investors, creditors, and regulatory bodies. This information is used by external users to make informed decisions about the organization.

Question 20

An organization's strategy should reflect the organization's core competencies.

Accepted Answer

An organization's strategy should align with and capitalize on the organization's core competencies in order to achieve a competitive advantage in the market.

Quiz 1: Introduction to Cost Accounting

Line managers are directly responsible for achieving organizational goals.

The learning and growth perspective of the balanced scorecard focuses on using an organization's intellectual capital to adapt to or influence customer needs and expectations.

Managerial accounting is most concerned with addressing the needs of the firm as a whole.

Mission statements typically remain unchanged throughout the life of an organization.

An organization's strategy is the guiding force for its mission.

Financial accounting is most concerned with meeting the needs of internal users.

Financial accounting is most concerned with addressing the needs of the firm as a whole.

Managerial accounting is most concerned with addressing the needs of individual departments of the firm.

Managerial accounting is highly regulated by rules and regulations.

The Sarbanes-Oxley Act of 2002 provides legal protection for individuals who report illegal organizational activities to appropriate persons or agencies.

Line personnel give assistance to staff employees.

Financial accounting is most concerned with addressing the needs of individual departments of the firm.

Managerial accounting is most concerned with meeting the needs of internal users.

Financial accounting is highly regulated by rules and regulations.

Financial accounting is most concerned with meeting the needs of external users.

The Foreign Corrupt Practices Act of 1977 provides legal protection for individuals who report illegal organizational activities to appropriate persons or agencies.

Cost accounting serves as a bridge between financial and managerial accounting.

Return on investment was used in the 1900's to evaluate business operations.

Financial accounting is most concerned with meeting the needs of external users.

An organization's strategy should reflect the organization's core competencies.