Management And Accounting Web

Management Accounting: Concepts, Techniques & Controversial Issues
Chapter 1 - Extra MC Solution

James R. Martin, Ph.D., CMA
Professor Emeritus, University of South Florida

Chapter 1 | MAAW's Textbook Table of Contents

1. Which of the following tends to place more emphasis on managing the process, i.e., the way work is done, rather than managing the results?

d. Activity management.

2. Which of the following places emphasis on a portfolio of interrelated investments?

e. Investment management.

3. Which of these statements is false?

c. Matching is required for both internal and external reporting.

4. Which of these statements is false?

The matching concept means,
    a. That the cash outflows for a particular accounting period are charged against the cash inflows for that period.

5. Companies that embrace the concepts and beliefs of individualistic capitalism tend to emphasize

d. Short run performance, stockholder interests and specialized workers.

6. Companies that embrace the concepts and beliefs of communitarian capitalism tend to emphasize

c. long run performance, cooperation and cross training workers.

7. In traditional cost systems, selling and administrative costs are treated as

d. period costs.

8. Which of the following disciplines receives the greatest influence from the matching concept?

a. financial accounting.

9. Which of the following disciplines tends to emphasize the way that work is performed as opposed to the financial outcome?

d. activity management.

10. Which of the following disciplines places the greatest emphasis on auditing general purpose financial statements?

b. public accounting.

11. Which of the following statements is true?

e. a and c.

12. Which of the statements below is true with regard to the difference between communitarian capitalism and individualistic capitalism?

c. An individualistic system emphasizes competition at all levels as the key to optimizing performance, while a communitarian system places a greater emphasis on cooperation at all levels to optimize performance.

13. Which of the following statements is true?

e. a and c.

14. The key difference between socialism and capitalism is the emphasis placed on

d. the profit motive.

15. Which of these statements is false?

c. Matching is required for both internal and external reporting.

Chapter 1 Extra MC Questions