Ch. 1 Wrong Answers Flashcards
What steps should you take if your manager wants you to
Engage in unethical behavior?
Confront the manager directly
Then talk to a higher up like the controller
Try to switch divisions in the company
Resign
Does the controller or CFO perform a strategic review
of different lines of business?
CFO
Why do companies adhere to GAAP for their basic internal financial statements?
Accrual accounting provides a uniform method to measure
An organizations financial performance
Define the value chain?
Sequence of business functions where customer usefulness
Is added to products and services
In supporting managers, management accountants have four guidelines. These guidelines are?
Cost-benefit analysis,
behavioral considerations,
Technical considerations,
Different costs for different purposes
The treasurer?
Undertakes banking, financing, investments and cash
Management duties
The CFO?
Executive responsible for overseeing financial operations
Of an organization
Controller?
Provides financial info to managers and shareholders and
Oversees overall operations of accounting system
Which of the following is not one of the ethical responsibilities of management accountant? Compliance Confidentiality Integrity Objectivity
Compliance
What does CIA and CFE stand for?
Certified Internal Auditor
Certified Fraud Examiner
Who is responsible for assessing the profitability of various products?
Controller
Who is responsible for managing accounts payable?
Controller
Who is responsible for communicating with investors?
CFO
Who budgets funds for a plant upgrade?
Controller
Who manages a company’s short term investments?
CFO
Who negotiates fees with auditors?
CFO
Who evaluates costs and benefits of a new product design?
Controller
