Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

The process of creating a formal plan and translating goals into a quantitative format is a. Process costing. c. Budgeting. b. Activity-based costing d. Variance

  1. The process of creating a formal plan and translating goals into a quantitative format is

a. Process costing. c. Budgeting.

b. Activity-based costing d. Variance analysis (cma)

  1. Which of the following objectives is not a primary purpose of preparing a budget?
  1. To communicate the companys plans throughout the entire business organizations.
  2. To provide a basis for comparison of actual performance.
  3. To control income and expenditures in a given period.
  4. To make sure the company expands its operations. (rpcpa)

  1. These statements are proper to the budgeting process except (rpcpa)
  1. It is a tool to orchestrate the various functions of operations in a business.
  2. The involvement of various levels of individuals in the company is necessary to gain acceptance and attain its goals.
  3. It is a part of managements responsibility to plan the use of its resources.
  4. Actual results need not be compared with plan, since the process ends after the budget is approved.

  1. Which of these statements are advantages of profit planning? (rpcpa)
  1. Develops profit-mindedness, encourages cost consciousness and resource utilization throughout the company.
  2. Provides vehicle to communicate objectives, gain support for the plan, of what is expected, thereby developing a sense of commitment to achieve established goals.
  3. Provides yardstick to evaluate actual performance; encouraging efficiency increasing output and reducing cost.
  4. Provides a sense of direction for the company and enhances coordination of business activity
  5. Eliminates or takes over the role of administration by providing detailed information that allows executives to operate toward achievement of the organizations objectives.

  1. All five statements.
  2. Statements 1, 3 and 4 only.
    1. Statements 3, 4 and 5 only.
  3. Statements 1, 2, 3 and 4 only.

  1. The major objectives of any budget system are to
  1. Define responsibility centres, facilitate the fixing of blame for missed budget predictions, and ensure goal congruence between superiors and subordinates.
  2. Foster the planning of operations, provide a framework for performance evaluation, and promote communication and coordination among organization segments.
  3. Define responsibility centres, provide a framework for performance evaluation, and promote communication and coordination among organization segments.
  4. Foster the planning of operation, facilitate the fixing of blame for missed budget prediction, and ensure goal congruence between superiors and subordinates. (cma)

  1. A budget manual, which enhances the operation of budget system, is most likely to include
  1. Employee hiring policies.
  2. Distribution instructions for budget schedules
  3. A chart of accounts.
  4. Documentation of the accounting system software
  5. Company policies regarding the authorization of transactions. (cma)

Answer the following and explain the answer!

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image_2

Step: 3

blur-text-image_3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Financial Accounting And Reporting A Global Perspective

Authors: Herve Stolowy, Yuan Ding, Luc Paugam

6th Edition

147376730X, 9781473767300

More Books

Students also viewed these Accounting questions

Question

Explain recruiting technology.

Answered: 1 week ago

Question

Define and operationalize types of employment discrimination.

Answered: 1 week ago

Question

Describe sexual harassment in the global environment.

Answered: 1 week ago