1. Which of the following would NOT be included as a cost of service for an airline? a. Maintenance wages b. Airport gate fees c. Research and design cost d. Fuel cost 2. A low cost airline can become profitable by increasing its plane utilization rate due to a. Lower repair and maintenance expense b. Spreading of fixed cost over larger number of ticketed travelers. c. Lower gate fees d. More frequent trips between cities even if the planes are significantly empty 3. Managerial accounting information is generally prepared for a. Managers b. Creditors c. Stockholders d. Regulatory agencies 4. The major reporting standard for presenting managerial accounting information is a. The cost principle b. Relevance c. The current tax law d. Generally accepted accounting principles 5. Managerial accounting is also called a. Controlling b. Management accounting c. Inside reporting d. Analytical accounting True/False 6. Reports prepared in financial accounting are general-purpose reports while reports prepared in managerial accounting are usually special-purpose reports. True False 7. Managerial accounting information generally pertains to an entity as a whole and is highly aggregated. True False 8. All forms of business organizations need managerial accounting information. Ture False 9. Determining the unit cost of manufacturing a product is an output of financial accounting. True False 10. Controlling is the process of determining whether planned goals are being met. True False