Managerial Accounting

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  1. operating budgets are plans used in daily operations.
  2. Managers do not need to know why a budget is being prepared.
  3. The budgeting function begins with the preparation of the direct materials purchases budget...
  4. They key factor to remember is that the sales unit forecast provides the catalyst for all the ... budgets
  5. Purchases of buildings and equipment are formally planned in the
    capital expenditures budget
  6. Which of the following is not a guideline for budget preparation
    include financial data only
  7. Which of the following would most likely be considered a short term goal?
    a unit sales forecast
  8. which of the budgets must managers prepare before they can prepare a direct materials purchases budget?
    production budget
  9. which type of budgeting utilizes employees at all levels of the company?
    participative budgeting
  10. an organization chart assists in mangagement control
  11. A report for a responsibility center includes cost and revenues that are both controllable and uncontrollable by a manager.
  12. performance reports allow comparisons between actual performance and budget expectations.
  13. If a performance report contains items that are out of a manager's control the entire responsibility accounting system can be called into question
  14. When calculating ROI assets invested represent the average of the beginning and ending asset balances for a given period.
  15. How many different types of responsibility centers exist?
  16. A good example of a profit center would be
    a local home depot store
  17. Which of the following represents the number of sales dollars generated by each dollar invested in assets?
    asset turnover
  18. A manager can improve ROI by doing which of the following?
    all of these choices
  19. Which of the following is a type of incentive compensation?
    profit-sharing plans
Card Set
Managerial Accounting
chapter 15 & 16
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