1. This consists of identifying alternatives, selecting from among the 13.
13. Ace is a financial manager who has discovered that her company is
alternatives, selecting from among the alternatives the one that is
best for the organization, and specifying what actions will be taken to
implement the chosen alternative.
a. Controlling b. Planning c. Directing d. Decentralization
2. The accounting and other report coming to management that are
used in controlling the organization are called ________.
a. Feedback b. Performance Report c. Budget d. Plan
3. The delegation of decision-making authority throughout the
organization by allowing managers at various operating levels to
make key decisions relating to their area of responsibility is called
_______.
a. Controlling b. Planning c. Directing d. Decentralization
4. A position on the organizational chart that is directly related to
achieving the basic objectives of an organization is called ________.
a. Line Position b. Staff position c. CFO d. Controller
5. A ___________ provides service or assistance to other parts of the
organization and does not directly achieve the basic objectives of the
organization.
a. Line Position b. Staff Position c. CFO d. Controller
6. A detailed report to management comparing budgeted data to actual
data for a specific time period is called ____________.
a. Budget b. Planning Report c. Performance Report d. FS
7. A member of the top management team who is responsible for
providing timely and relevant data to support planning and control
activities and for preparing financial statements for external users.
a. CFO b. Controller c. Manangement d. Treasurer
8. Managerial accounting places less emphasis on ______ and more
emphasis on ________ than financial accounting.
a. Planning; Non-monetary data
b. Budgets; Estimated data
c. Precision; Non-monetary data
d. Estimates; Actual data
9. Accounting and other reports that help managers monitor
performance and focus on problems and/or opportunities that might
otherwise go unnoticed.
a. Feedback b. Performance Report c. Budget d. Planning Report
10. The manager in charge of the accounting department in an
organization.
a. CFO b. Treasurer c. Controller d. VP-Finance
11. A visual diagram of a firm’s organizational structure that depicts
formal lines of reporting, communication and responsibilities.
a. Flow Chart b. Budget c. Cycle Diagram d. Organizational Chart
12. If a management accountant has a problem in identifying unethical
behavior or resolving an ethical conflict, the first action he should
normally takes is to:
a. Consult the board of directors
b. Discuss the problem with his immediate superior
c. Notify the appropriate law enforcement agency
d. Resign from the company
19. In which situation is management accountant permitted to
violating environmental regulations. If her immediate superior is communicate confidential information to authorities outside the firm?
involved, her appropriate action is to: a. There is an ethical conflict and board has refused to take
a. Do nothing since she has a duty of loyalty to the organization action
b. Consult the audit committee b. Such communication is legally prescibed
c. Present the matter to the next higher managerial level c. The management account knowingly communicates
d. Confront her immediate superior information indirectly to a subordinate
d. An officer at the management accountant’s bank has
14. Corporate social responsibility is
requested information on a transaction that could influence
a.
Enforced through the controls envisioned by classical the firm’s stock price.
economics 20. Competence standard requires the management accountant to:
b. The obligation to stockholders to earn profit a. Report information, whether favorable or not
c. More than the obligation of shareholders to earn a profit b. Develop his proficiency on a continual basis
d. Defined as the obligation to serve long-term company c. Discuss ethical conflicts and possible courses of action
interest with an unbiased counselor
15. A common argument against corporate social responsibility is that: d. Discuss with the subordinates, their responsibilities
a. It encourages government intrusion in decision making regarding disclosure of informaion about the firm
b. As a legal person, the company is accountablefor its
conduct PROBLEMS. Write your answer on the space provided for.
c. It creates a goodwill
d. In a competitive market, it incurs costs that place the 1. Oroc Inc. Provided the following information for last month.
Sales P50,000
company at a disadvantaged position Contibution Margin 30,000
16. If the existing policy of the company does not resolve the ecthical Net Income 20,000
conflict, the management accountant should:
a. Consult the board of directors immediately If sales double monthly, what is the projected income on August 2018? (5
b. discuss the problem with the immediate superior if he is points)
involved in the conflict
2. Sabucido Manufacturing Corp currently produces 1,000 pencils
c. Communicate the problem to authorities outside the
per month. The following per unit data apply for sales to
organization
reguglar customer:
d. Contact the next higher managerial level if initial
Direct Materials P30
presentation to the immediate superior does not resolve
Direct Labor 5
the conflict
Variable Overhead 10
17. One aspecct of integrity requires
Fixed Overhead 40
a. Performance of professional duties in accordance with the
__
laws
Total Cost P85
b. Avoidance of conflict of interest
c. Refrain from improper use of inside information The plant has capacity for 2,500 pencils and is considering expanding
d. Maintenance of appropriate level of professionalism production to 1,969 pencils. What id the total cost of producing 1,696
18. A management accountant discovers a problem that could mislead pencils? (5 points)
the users of the firm’s financial data and has informed his immediate
3. Same data as number 2 above, what is then the per unit cost of
superior. He should report the circumstances to the audit committee
and/or board of directors only if: producing 1,969 pencils? (5 points)
a. The immediate superior, who reports to the CEO, knows 4. The bligario company is contemplating of determining and
about the situation but refuses to correct it. separating variable costs from fixed costs after the figures on
b. The immediate superior assures the management January 2018 was established to be abnornal already. Thus
accountant that the problem will be resolved they employed measures to be assured that starting February
c. The imediate supeior reports the situation to his superior 2018, the costs incurred will return to its normal thereby properly
d. The immediate superior, the firm’s CEO, knows about the accounting the fixed cost from variable costs. The company
situation, but refuses to correct it. reports yield the following data:
Month Meals Served Utilities Cost
January 55 401.00
February 30 360.00
March 25 347.50
April 40 385.50
May 54 414.00
Using the least squares method, the total variable cost in serving 44 meals
is __________? (10 points)

5. Bonarj Company is accumulating data to be used in preparing

its annual profit plan for the coming year 2019. The cost
behavior pattern f the maintenance costs must be determined.
The accounting staff has suggested hours and costs. Data
regarding the maintance hours and costs for the last year and
results the regression analysis follow:

Month Hours of Activity Maintenance Cost

January 480 4,200
February 320 3,000
March 400 3,600
April 300 2,820
May 500 4,350
June 310 2,960
July 230 3,030
August 250 4,470
September 490 4,260
October 470 4,050
November 150 3,300
December 340 3,160

Determine the coefficient of determination.