1. Which of the following is not a characteristic of Management Advisory Services?
   1. MAS is broad in concept.
   2. MAS involves problem solving affecting the future of the client.
   3. Beneficiary of service is management.
   4. MAS is repetitive as far as the same client is concerned. (rpcpa)

2. Which of the following does not relate to management services by CPAs?
   1. Design and/or installation of accounting system,
   2. Financial analysis for project feasibility studies.
   3. Costs analysis of major investment decisions.
   4. None of the above. (rpcpa)

3. Which of the following is not a characteristics of management services?
   1. A wider variety of assignments are encountered in MAS that in audit.
   2. MAS engagements are recurring.
   3. MAS pinpoint actions to be taken, the benefits of which will be received in the future,

D. In MAS engagement, the nature of work involved requires a lesser need for junior assistance. (rpcpa)

4. The following characterize management advisory services except:

1. Involve decision for the future.
2. Broader in scope and varied in nature,
3. Utilize more junior staff than senior members of the firm.
4. Relate to specific problems where expert help is required. (rpcpa)

5. Which of the following does not impair independence of a CPA in the rendition of management services?
   1. The CPA performs decision-making services for his client,
   2. The CPA performs services wherein he is in effect acting as an employee of the client.
   3. The CPA eases its objectivity and acts in a manner as if he is advocating for the interest of his client.
   4. The CPA does not extend his service beyond the presentation of recommendations or giving of advice. (rpcpa)
6. Competence in management advisory services is acquired by
   1. Education,
   2. Auditing and other experience.
   3. Actual performance of management advisory services.
   4. All of the these. (rpcpa)

7. The term "discretionary costs" refers to
   1. Costs that are likely to respond to the amount of attention devoted to them by a specified manager.
   2. Costs that are governed mainly by past decisions the established the present levels of operating and organizational capacity and that only change slowly in response to small changes in capacity.
   3. Amortization of costs that were capitalized in previous periods.
   4. Costs that management decides to incur in the current period to enable the company to achieve objectives other than the filling of orders placed by customers.
   5. Costs that will be unaffected by current managerial decisions.

8. An imputed cost is
   1. A cost that may be shifted to the future with little or no effect on current operations.
   2. A cost that cannot be avoided because it has already been incurred.
   3. A cost that does not entail any peso outlay but which is relevant to the decision-making process.
   4. The difference in total costs that results from selecting one choice instead of another.
   5. A cost that continues to be incurred even though there is no activity.

9. The term "committed costs" refers to
   1. Costs that are likely to respond to the amount of attention devoted to them by a specified manager.
   2. Costs that are governed mainly by past decisions that established the present levels of operating and organizational capacity and that only change slowly in response to small changes in capacity.
   3. Costs that management decides to incur in the current period to enable the company to achieve objectives other than the filling of orders placed by customers.
   4. Costs that fluctuate in total in response to small changes in the rate of utilization of capacity.
   5. Amortization of costs that were capitalized in previous period.

10. Common costs are those incurred
    1. To produce two or more inseparable products.
    2. Routinary in the industry in which the company operates.
    3. By every department in an organization.
    4. To produce common products beyond their split- off point.

Explain per item number the correct answers i have given in multiple choice!