Question 1

What are the main tenets of contingency theory? How do they influence MACS?

Question 2

Explain with an example the 'cybernetics' notion of control.

Question 3

Critically examine the notion of 'goal congruence' in large decentralized entities.

Question 4

Identify management accounting information that could assist managers in making each of the following decisions. Remember to consider non-financial information where relevant.

1.A marketing manager is considering whether or not to launch a new product.

2.A travel company is considering whether it should increase its staff numbers by one-third

3.A production team leader is considering whether an important customer order should be produced next week, or during overtime hours tonight

4.A fast-food chain is considering a site for a new store

Question 5

Use the internet to access the website and the annual report for any company. Find the director's report (or chairman's review) and discuss how management accounting information may have contributed to the management of the company during this year.