Multiple choice questions are 2 points each: 1. Which of the following is not a way managers use managerial accounting? a. To assure appropriate use of its resources. ow o b. Provide information used in planning, evaluation and controlling functions within an organization To communicate information to stockholders. d. To assure accountability for its resources A 2. Since intemal users have access to all the underlying data used for managerial accounting reports, They can create reports that suit their particular decision making needs. b. They financial data in making decisions. c. They financial data in making decisions. d. There is no need to use financial data in making decisions. can create reports that suit their particular decision making needs but there is no need to use cannot create reports that suit their particular decision making needs but there is no need to u A 3. Managerial accounting is designed to assist managers with which of the following activities? All options are correct b. Planning c. Evaluating d. Controlling 4 4. If sales price and variable cost remain constant and fixed costs decrease, contribution margin will aIncrease b. Decrease c. Remain the same d. Vary, depending on the circumstances .If activity level increases, what happens to the total dollars reported of variable cost? a. It remains the same. b. It depends on how much the activity level increases. c. It decreases t increases. c 6. Four common cost behavior patterns that serve as the foundation for cost-volume profit analysis a. Variable cost, fixed cost, selling cost, and administrative cost b. Selling cost, administrative cost, cost of goods sold, and depreciation. oVariable cost, fixed cost, mixed cost, and step cost d. Variable cost, fixed cost, period cost, and other cost