The main purpose of managerial accounting is to provide relevant information to its managers.

 True or false: The main purpose of managerial accounting is to provide relevant information to its managers.
True false question.
 True
 False
Reason:
The main purpose of managerial accounting is providing information that is useful to decision makers.
Correct Answer
True

Managerial accounting has the following characteristics? (Check all that apply.)
Multiple select question.
 
focus is on internal users
 
Information is usually available only after an audit
 
Includes mostly monetary and some nonmonetary information
 
Primarily focuses on past performance using historical information
 
Emphasis is on projects, processes, and divisions
Correct Answer
focus is on internal users

 
Includes mostly monetary and some nonmonetary information
Emphasis is on projects, processes, and divisions
Consider a company that manufactures automobiles. Which of the following costs would be considered a direct cost?
Multiple choice question.
 
Salary of production supervisor
Reason:
This is an indirect cost and is classified as factory overhead.
 
Wages of factory maintenance worker
Reason:
This is an indirect cost.
 
Salary of the accounting manager
Reason:
This is a period cost -- neither direct or indirect.
 
Wages of assembly line workers
Correct Answer
Wages of assembly line workers

Costs which are crucial parts of the finished product are called finishedBlank 1Blank 1 finished , Incorrect Unavailable goodsBlank 2Blank 2 goods , Incorrect Unavailable.
Correct Answer
Blank 1: direct
Blank 2: materials, costs, cost, or material

True or false: The main purpose of managerial accounting is to provide general-purpose financial statements.
True false question.
 True
Reason:
Financial accounting provides general-purpose financial statements. Managerial accounting provides financial and nonfinancial information to an organization's managers.
 False
Correct Answer
False


Match the following characteristic to the type of accounting.
Financial
Financial Drop zone Uses past performance using historical information correct Toggle Button Unavailable.
Uses past performance using historical information
Managerial
Managerial Drop zone Uses current performance and future projections correct Toggle Button Unavailable.
Uses current performance and future projections
Correct Answer
•    Financial
matches
Choice, Uses past performance using historical information
Uses past performance using historical information
•    Managerial
matches
Choice, Uses current performance and future projections
Uses current performance and future projections

Prime costs consists of:
Multiple choice question.
 
factory overhead and direct materials
 
factory overhead and direct labor
 
direct labor and direct materials
Correct Answer
direct labor and direct materials

According to the fraud triangle, the three factors that must exist for a person to commit fraud include __, __, and __. (Check all that apply).
Multiple select question.
 
justification
 
opportunity
 
rationalization
 
incentive
 
pressure
Correct Answer
opportunity
rationalization
pressure


Consider a company that manufactures picture frames. Which of the following costs would be considered direct costs? (Check all that apply.)
Multiple select question.
 
Wages of assembly line worker
Reason:
This is direct cost.
 
Glass used in the frame
 
Salary of production supervisor
Reason:
This is indirect cost and is classified as factory overhead.
Oak wood used for frame

Correct Answer
Wages of assembly line worker
Glass used in the frame
Oak wood used for frame

 

 

Thanks