Ch 1 on Lab Flashcards
Help creditors make lending decisions
Financial accounting
Summary reports prepared quarterly or annually
Financial accounting
Is not required to follow GAAP
Managerial Accounting
Helps in planning, directing, and controlling operations
Managerial Accounting
Has focus on the future
Managerial Accounting
Which is not a characteristic of management accounting information?
A.Emphasizes the external financial statements
B.Provides detailed information about individual parts of the company
C.Emphasizes relevance
D.Focuses on the future
A.Emphasizes the external financial statements
World-class businesses use which of these systems to integrate all of a company’s worldwide functions, departments, and data into a single system?
A.Cost standards
B.Enterprise resource planning
C.Just-in-time management
D.Items a, b, and c are correct.
B.Enterprise resource planning
Helps investors make investment decisions.
Financial accounting
B.Provides detailed reports on parts of the company.
Managerial Accounting
c.Helps in planning and controlling operations.
Managerial Accounting
d.Reports must follow Generally Accepted Accounting Principles (GAAP).
Financial accounting
e.Reports audited annually by independent certified public accountants.
Financial accounting
- A philosophy designed to integrate all organizational areas in order to provide customers with superior products and services while meeting organizational objectives. Requires improving quality and eliminating defects and waste.
Total quality management
.
- Use of the Internet for business functions such as sales and customer service. Enables companies to reach customers around the world.
E-commerce
3.Evaluating a company’s performance by its economic, social, and environmental impact.
Triple bottom line
.
4.Software system that integrates all of a company’s functions, departments, and data into a single system.
Enterprise resource planning
- A system in which a company produces products just when they are needed to satisfy needs. Suppliers deliver materials when they are needed to begin production, and finished units are completed at the right time for delivery to customers.
Just in Time
a. Providing earnings information to your brother before it is publicly announced violates the___________ standard.
Confidentiality
b. Stealing from your employer is a violation of the
___________ standard.
Integrity
c. Skipping continuing education sessions could violate the requirement to maintain professional ___________. If your company paid for you to attend the conference, skipping the sessions also violates the ________ standard.
- Competence
- Integrity
d. Failing to read the specifications of the software package before purchasing it violates the __________ standard.
Competence
e. Failing to provide top management with detailed job description information violates the __________ standard. If you did not provide the information because you fear losing your position also violates the ________ standard.
- Credibility
- Integrity
a. Accounting systems that must follow GAAP
Financial
B. External parties for whom financial accounting reports are prepared.
Creditors and stockholders
C. The role managers play when they are monitoring day-to-day operations and keeping the company on track.
Controlling
D. Internal decision makers.
Managers
e. Accounting system that provides information on a company’s past performance.
Financial
f. Accounting system not restricted by GAAP.
Managerial
g. The management function that involves choosing goals and deciding how to achieve them.
Planning
a. A management system that focuses on maintaining lean inventories
while producing products as needed by the customer.
Just in Time
b. A philosophy designed to integrate all organizational areas in order to
provide customers with superior products and services while meeting organizational objectives.
Total quality management
c. Integrates all of a company’s functions, departments, and data into a
Enterprise resource planning single system.
Enterprise resource planning ERP
d. Adopted by firms to conduct business on the Internet.
E-commerce
Today’s business environment is characterized by
A. global competition.
B. time-based competition.
C. a shift towards a service economy.
D. Items a, b, and c are correct.
D. Items a, B, and C are correct
