Principles of Accounting Volume 2
19th Edition
ISBN: 9781947172609
Author: OpenStax
Publisher: OpenStax College
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Textbook Question
Chapter 1, Problem 2EA
Identify the following as True or False:
Managerial accounting reports must comply with the rules set in place by the FASB.Financial accounting reports are typically general-purpose reports.- Financial accounting reports pertain to the entity as a whole, whereas managerial accounting focuses more on subunits of the organization.
- The main users of the financial accounting information are the internal users.
- Managerial reports are prepared on an as-needed basis.
- Financial accounting reports often must be audited at least annually by an independent auditor.
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Students have asked these similar questions
. Indicate whether each statement describes financial accounting or managerial accounting.
The information is directed at external users who are making decisions pertaining to investing, extending credit, and other decisions.
The principal users are the organization’s managers.
The key focus is on the entity as a whole.
The rules and principles are very flexible.
The information gathered is usually available after an independent audit has been completed.
2. Identify the following as True or False:
Managerial accounting reports must comply with the rules set in place by the FASB.
Financial accounting reports are typically general-purpose reports.
Financial accounting reports pertain to the entity as a whole, whereas managerial accounting focuses more on subunits of the organization.
The main users of the financial accounting information are the internal users.
Managerial reports are prepared on an as-needed basis.
Financial accounting reports often must be audited at least annually…
Financial accounting follows Generally Accepted Acccounting Principles (GAAP), while managerial accounting
Select one:
O a. develops financial statements for external users
O
b. often has the financial information audited
O
c. is concerned with collecting data of historical nature
O
d. develops reports primarily prepared for internal use and help management make informed operational decisions.
Which of the following control objectives in the General Ledger activities under the Record-to-Report process is least likely to have more extensive audit procedures for a business in an industry with fewer regulations?
a. To ensure that the general ledger and management accounts are accurate, reliable, and appropriately reflect the structure and operations of the organization.
b. To ensure that the accounting information can be used to generate all the required statutory published accounting statements.
c. To ensure that the accounting data is capable of meaningful and accurate analysis to support management decisions and actions.
d. To ensure that the accounting records are maintained in accordance with the prevailing laws, regulations, and professional good practice.
NEED ASAP
Chapter 1 Solutions
Principles of Accounting Volume 2
Ch. 1 - The managers of an organization are responsible...Ch. 1 - Management accountants help the management of an...Ch. 1 - Which of the following is a primary aspect of the...Ch. 1 - During the control function, the measurements...Ch. 1 - Which of the following is false regarding...Ch. 1 - Managerial accounting produces information: to...Ch. 1 - Management accounting: emphasizes special-purpose...Ch. 1 - Internal users of accounting information would not...Ch. 1 - External users of accounting information would...Ch. 1 - Which of the following statements is incorrect?...
Ch. 1 - The stockholders of a company are: the owners...Ch. 1 - The controller of a corporation: reports to the...Ch. 1 - The Certified Financial Analyst (CFA)...Ch. 1 - The Certified Management Accountant (CMA)...Ch. 1 - Which of the following terms means the ability to...Ch. 1 - Which of the following terms means knowing how a...Ch. 1 - What is the law that protects investors from...Ch. 1 - What year was the Sarbanes-Oxley Act enacted? 2007...Ch. 1 - When a representative of an organization gives...Ch. 1 - The law that specifically prohibits payments to...Ch. 1 - Which of the following is not a step in the...Ch. 1 - Which of the following is not an objective used in...Ch. 1 - Which of the following is not true regarding...Ch. 1 - A companys attempts to utilize sustainable...Ch. 1 - A process that is often linked to Six Sigma and is...Ch. 1 - An inventory system that organizations use to...Ch. 1 - A quality control program that depends on multiple...Ch. 1 - Carlita believes an important part of the planning...Ch. 1 - What are some activities and tasks a manager might...Ch. 1 - If there are deviations from the stated goals and...Ch. 1 - Explain how managerial accountants help managers...Ch. 1 - How do the subject matter of reports and the...Ch. 1 - What is the purpose of management accounting?Ch. 1 - Who are the primary users of the information...Ch. 1 - What are the key differences between financial...Ch. 1 - Other than accounting skills, what six qualities...Ch. 1 - Explain how having more than one of the accounting...Ch. 1 - Briefly discuss the chain of command for someone...Ch. 1 - According to the information available at...Ch. 1 - According to the information on management...Ch. 1 - What other professional business organizations...Ch. 1 - How can having a bonus system based purely on...Ch. 1 - What led to the United States Congress passing the...Ch. 1 - What is an enterprise resource planning (ERP)...Ch. 1 - Describe what is meant by the term balanced in the...Ch. 1 - What is corporate social responsibility, and who...Ch. 1 - Indicate whether each statement describes...Ch. 1 - Identify the following as True or False:...Ch. 1 - Define each of these users of accounting...Ch. 1 - Discuss what information would be most useful for...Ch. 1 - Taylor Speedy has prepared the following list of...Ch. 1 - Match the term with the description:Ch. 1 - After the passage of the Sarbanes-Oxley Act in...Ch. 1 - Indicate whether each of the following statements...Ch. 1 - Match each lean business method to the best...Ch. 1 - For each of the activities listed, choose the...Ch. 1 - Look up the definitions for the following terms:...Ch. 1 - Indicate whether the statement describes reporting...Ch. 1 - Identify the following as true or false: Financial...Ch. 1 - Companies need to report both monetary and...Ch. 1 - Marvin has been thinking about the fields of...Ch. 1 - Match the term with the description.Ch. 1 - The Foreign Corrupt Practices Act (FC PA) was...Ch. 1 - Indicate whether each of the following statements...Ch. 1 - Table 1.3 shows how different areas within the...Ch. 1 - There are individuals who are under the impression...Ch. 1 - Think about the organization chart in Figure 1.7....Ch. 1 - Controversy tends to surround the topic of...
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- Indicate whether each statement describes financial accounting or managerial accounting. The information is directed at external users who are making decisions pertaining to investing, extending credit, and other decisions. The principal users are the organizations managers. The key focus is on the entity as a whole. The rules and principles are very flexible. The information gathered is usually available after an independent audit has been completed.arrow_forwardThe following are selected portions of the report ofmanagement from a published annual report.REPORT OF MANAGEMENTManagement’s Report on Internal Control over Financial ReportingThe Company’s management is responsible for establishing and maintaining adequateinternal control over financial reporting. The Company’s internal control over financialreporting is a process designed under the supervision of its President and ChiefExecutive Officer and Chief Financial Officer to provide reasonable assurance regardingthe reliability of financial reporting and the preparation of the Company’s financialstatements for external reporting in accordance with accounting principles generallyaccepted in the United States of America. Management evaluates the effectiveness ofthe Company’s internal control over financial reporting using the criteria set forth bythe Committee of Sponsoring Organizations of the Treadway Commission (COSO)in Internal Control–Integrated Framework. Management, under the…arrow_forwardWhich of the following does NOT explain the distinction between financial statements andmanagement accounts?A Financial statements are primarily for external users and management accounts areprimarily for internal usersB Financial statements are normally produced annually and management accounts arenormally produced monthlyC Financial statements are more detailed than management accountsD Financial statements are audited by an external auditor and management accounts do notnormally have an external auditarrow_forward
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