38. The field of accounting that depends on generally accepted accounting principles (GAAP)
is called
39. Which field of accounting emphasizes relevancy over comparability?
40. The just-in-time (JIT) method of production focuses on
41. (CIA adapted) The primary reason for adopting total quality management (TQM) is to
achieve
42. According to the Institute of Management Accountants (IMA), the final step in resolving an
ethical dilemma is to
43. According to the Institute of Management Accountants (IMA), the first step in resolving an
ethical dilemma is to
44. Which of the following is not one of the basic standards of the Institute of Management
Accountants (IMA) Code of Ethics?
45. Which of the following is not one of the overarching ethical principles of the Institute of
Management Accountants (IMA) Code of Ethics?
46. The financial plan of the revenues and resources needed to carry out activities and meet
financial goals is called
47. The cost accounting system that minimizes wasteful or unnecessary transaction
processes is
48. Continual process of measuring a company’s own products, services or activities against
competitors’ performance is
49. The costing method that first assigns costs to activities and then assigns them to
products based on the products’ consumption of activities is called
50. Having one or more of the firms’ activities performed by another firm or individual in the
supply or distribution chain is called
51. The system that identifies the costs of producing low-quality items is called
52. The system that allows firms to target profitable customers by assessing customer
revenue and costs is called
53. Information technology that links the various processes of the company into a single
comprehensive information system is called
54. A management method by which the organization seeks to excel on all dimensions of
quality is called
55. Which of the following is not a key financial manager in an organization?
56. Which of the following is not normally considered part of the value chain?
57. In 2013, the Turnkey Company had consulting revenues of $1,000,000 while costs were
$750,000. In 2014, Turnkey will be introducing a new service that will generate $150,000 in sales
revenues and $60,000 in costs. Assuming no changes are expected for the other services,
operating profits are expected to increase by
58. In 2013, the MoreForLess Company had revenues of $2,000,000 and costs of $1,500,000.
During 2014, MoreForLess will be introducing a new product line that is expected to increase
sales revenue by $200,000 and costs by $160,000. Assuming no changes are expected for the
other products, the operating profits are expected to increase by
59. Moving of inventory is an example of a(n)
60. Costs that change in response to a particular course of action are
61. Which of the following activities would not be included in the value chain of a
manufacturing company?
62. A firm’s replies to customers’ questions via email would be an example of which element
of the value chain?
63. The delivery of products or services to customers is an example of which element in the
value chain?
64. The extended value chain:
65. Manufacturing firms use the value chain to take steps to improve the overall profitability
of the firm by:
66. During which step of the value chain process will a manufacturing company determine
whether or not it has added utility?
67. Which of the following types of organizations can most benefit from the implementation of
value chain?
68. Which of the following statements concerning the value chain is false?
69. Which of the following could be considered part of the value chain in a service firm?
70. Place the four components in the order they appear along the value chain: A = Customer
service; B = Design; C = Distribution; and D = Production.
71. The value chain is the order of business components in which:
72. Cost accounting
73. Financial accounting
74. The individual who would most likely use only financial accounting information in making
decisions is a
75. The financial accounting system is the primary source of information for
76. Cost accounting provides all of the following with the exception of
77. The primary objective of financial accounting is