profession by identifying the role of the management accountant and financial manager, the underlying body of knowledge, and a course of study by which such knowledge is acquired; (2) to encourage higher educational standards in the management accounting field; (3) to establish an objective measure of an individual's knowledge and competence in the field of management accounting, and (4) to encourage continued professional development by management accountants. The CMA program requires candidates to pass a series of uniform examinations covering a wide range of subjects. The examination consists of the following four parts: (1) economics, finance, and management (3 hours); (2) financial accounting and reporting (3 hours): (3) management reporting analysis, and behavioral issues (3 hours); and (4) decision analysis and information systems (3 hours). Management accounting is not as important or useful in nonprofit organizations such as hospitals and government as it is in private business firms, since these organizations do not strive to make profits. Comment on this statement. 1.5 This statement is not true. Management accounting is useful in planning, controlling, and decision making. Whether the object of an organization is to make a profit or not, the concepts of planning, control, and decision making are the same in both profit-oriented businesses and nonprofit organizations. Nonprofit organizations need financial and accounting information in meeting their objectives and in allocating their resources. They are concerned with such matters as control of revenue and costs and making economical decisions h1 Prepare an organization chart (highlighting the accounting functions) of J. Company, which has the following positions: Special reports and studies manager VP, sales Billing clerk Cost systems analyst VP, finance Assistant controller Assistant treasurer Systems and data processing manager Accounts receivable clerk General accounting manager Budget and standard cost analyst Treasurer Controller Payroll clerk VP, production Internal audit manager Tax manager Performance analyst Cost accounting manager General ledger bookkeeper Cost clerk Accounts payable clerk