ACCT 505 WEEK 1 DISCUSSION MCQ

You can take the self-study quizzes before or after going through the material. These quizzes exist to test your knowledge of the material and are part of your grade.  You can take each quiz multiple times. Once you have completed the quiz you can show your results in two ways:

1. Copy and paste it on to a word document and attach it to the discussion post below or

2. By making use of snipping tool or PrtScn (Print Screen) take the image of the result part showing that you have got 100% correct answers and paste that image in the discussion post below (for example see the attachment).

In order to get full credit for this activity you need to score 100% on the quiz from every Chapter. 

To access the quiz please use the links given below or you can also access them through the Assignments tab - Week 1 Additional Resources:

 

Chapter 1 MCQS QUIZ

Managerial accounting is concerned with:

A) 

reporting financial information to stockholders.

B) 

reporting financial information to regulators.

C) 

providing information for use within the organization.

D) 

the financial consequences of past activities.

 

 

 

2  

Which of the following statements is not correct?

A) 

A plan is always expressed in formal quantitative terms.

B) 

Planning involves establishing goals and specifying how to achieve them.

C) 

Controlling involves gathering feedback to ensure that the plan is being properly executed or modified as circumstances change.

D) 

Decision making involves selecting a course of action from competing alternatives.

 

 

 

3  

A performance report:

A) 

is part of the control process.

B) 

compares budgeted data to actual data in an effort to identify and learn from excellent performance.

C) 

is prepared to identify and eliminate sources of unsatisfactory performance.

D) 

is all of the above.

 

 

 

4  

In order to do their jobs, managers must possess a variety of skills including:

A) 

enterprise risk management skills.

B) 

process management skills.

C) 

measurement skills.

D) 

all of the above.

 

 

 

5  

Which of the following statements is correct?

A) 

A business process consists of the major business functions that add value to a company's products and services.

B) 

Lean thinking bloats inventories and results in more defects.

C) 

The Theory of Constraints is based on the insight that effectively managing what it is that prevents you from getting more of what you want is a key to success.

D) 

All of the above statements are correct.

 

 

 

6  

Which of the following is a procedure inherent in the Theory of Constraints?

A) 

Identify the strongest link.

B) 

Do not place a greater strain on the system that the strongest link can handle.

C) 

Concentrate improvement efforts on strengthening the strongest link.

D) 

Improvement efforts must be focused on the constraint.

 

 

 

7  

The IMA's Statement of Ethical Professional Practice includes which of the following broad categories?

A) 

Competence.

B) 

Confidentiality.

C) 

Integrity.

D) 

All of the above.

 

 

 

8  

Which of the following statements about the Sarbanes-Oxley Act of 2002 is not correct?

A) 

The Act requires the Chief Financial Officer and the Controller certify in writing that their company's financial statements and accompanying disclosures fairly represent the results of operations.

B) 

The Act requires that a company's annual report contain an internal control report.

C) 

The Act establishes severe penalties of as many as 20 years in prison for altering or destroying any documents that may eventually be used in an official proceeding and as many as 10 years in prison for managers who retaliate against a whistle-blower who goes outside the chain of command to report misconduct.

D) 

The Act places the power to hire, compensate, and terminate the public accounting firm that audits a company's financial reports in the hands of the audit committee.

 

 

 

9  

Which of the following statements about the internal control is not correct?

A) 

A company uses internal control to provide absolute assurance that its financial reports are reliable, to achieve efficient and effective operations, and to ensure compliance with applicable laws and regulations.

B) 

The Sarbanes-Oxley Act of 2002 requires that a company's annual report contain an assessment by management of the effectiveness of the company's internal control structure.

C) 

A preventative internal control deters undesirable events from occurring while a detective control detects undesirable events that have already occurred.

D) 

All of the above statements are correct.

 

 

Chapter 2 MCQS QUIZ

 

 

All of the following would be classified as manufacturing overhead except the:

A) 

wages of supervisor of the machining shop.

B) 

depreciation of the equipment in the machining shop.

C) 

property taxes relating to the building that houses the machining shop.

D) 

All of the above would be classified as manufacturing overhead.

 

 

 

2  

All of the following would be classified as product costs except:

A) 

the cost of air-conditioning the factory foreman's office.

B) 

depreciation on the machinery in the factory.

C) 

the cost of shipping units of product to one of the company's customers.

D) 

All of the above would be classified as product costs.

 

 

 

3  

Within the relevant range:

A) 

both total variable costs and total fixed costs will remain constant.

B) 

both total variable costs and total fixed costs fluctuate.

C) 

fixed costs per unit will remain constant and variable costs per unit will fluctuate.

D) 

variable costs per unit will remain constant and fixed costs per unit will fluctuate.

 

 

 

4  

An analysis of a particular cost incurred in a factory revealed that the cost is averages $0.40 per machine-hour at an activity level of 20,000 machine hours and increases to an average of $0.50 per machine hour at an activity level of 16,000 machine hours. Assuming that this activity is within the relevant range, what is the total expected cost if the activity level is 17,300 machine hours?

A) 

$1,600

B) 

$6,960

C) 

$8,000

D) 

$9,000

 

 

 

5  

Given the cost formula Y = $30,000 + $5X, total cost at an activity level of 16,000 units would be:

A) 

$30,000.

B) 

$46,000.

C) 

$80,000.

D) 

$110,000.

 

 

 

6  

The Sante Company incurred $40,000 to ship 19,000 pounds and $34,000 to ship 16,000 pounds. If the company ships 18,000 pounds, its expected shipping expense is closest to:

A) 

$37,000.

B) 

$37,895.

C) 

$38,000.

D) 

$38,250.

 

 

 

7  

The following information was summarized from the records of the Muentes Company for the first quarter of the year:

 

The company's gross margin for the quarter was:

A) 

$280,000.

B) 

$380,000.

C) 

$420,000.

D) 

$440,000.

 

 

 

8  

The following information was summarized from the records of the Muentes Company for the first quarter of the year:

 

The company's contribution margin for the quarter was:

A) 

$280,000.

B) 

$380,000.

C) 

$420,000.

D) 

$600,000.

 

 

 

9  

Which one of the following costs would not be considered an indirect cost of serving a particular customer at a delicatessen?

A) 

The salary of the manager.

B) 

The cost of the tables and chairs used to furnish the restaurant.

C) 

The cost of the bread used to make the sub sandwich that is ordered.

D) 

The cost of lighting and heating the restaurant.

 

 

 

10  

An opportunity cost is:

A) 

the difference between the total cost of one alternative and the total cost of another alternative.

B) 

the benefit forgone when one alternative is selected rather than another.

C) 

a cost that is saved by not adopting a given alternative.

D) 

a cost that continues to be incurred even when there is no activity.

 

 

ACCT 505