Which of the following is a characteristic of managerial accounting?
A) It is used primarily by external users.
B) It often lacks flexibility.
C) It is often future-oriented.
D) The information it provides is extremely precise.
C
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When there are numerous property and equipment transactions during the year, an auditor planning to set control risk at low usually plans to obtain an understanding of internal control and to perform:
A. extensive tests of current year property and equipment transactions. B. analytical procedures for property and equipment balances at the end of the year. C. tests of controls and extensive tests of property and equipment balances at the end of the year. D. tests of controls and limited tests of current year property and equipment transactions.
The static group is a two-group experimental design. One group, called the ________, is exposed to the treatment, and the other, called the ________, is not
Measurements on both groups are made only after the treatment, and test units are not assigned at random. A) experimental group (EG); control group (CG) B) experimental group (EG); random group (RG) C) pretest group (PG); control group (CG) D) control group (CG); experimental group (EG)
Answer the following statements true (T) or false (F)
1. The transfer price should be an amount between the market price and the variable cost. 2. When operating at capacity, a market-based transfer price should be used. 3. If a company allows division managers to negotiate a cost-based transfer price, it is better to use actual costs rather than standard costs. Otherwise, the selling division has no motivation to control costs.
Costs that differ between alternatives are called:
A) sunk costs. B) irrelevant costs. C) relevant costs. D) unavoidable costs.