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SOLUTION MANUAL FOR APPLIED STATISTICS IN BUSINESS AND ECONOMICS 7TH EDITION DAVID DOANE, LORI SEWARD
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SOLUTION MANUAL FOR APPLIED STATISTICS IN BUSINESS AND ECONOMICS 7TH EDITION DAVID DOANE, LORI SEWARD
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,SOLUTION MANUAL FOR MANAGERIAL ACCOUNTING 5TH CANADIANEDITION BY KAREN BRAUN, WENDY TIETZ, LOUIS BEAUBIEN
Chapter 1
Introduction to Managerial Accounting
Quick Check
Answers:
1. b 3. d 5. c 7. c
2. b 4. d 6. c 8. b
Short Exercises
(5–10 min.) S1-1
The four primary responsibilities of managers include planning, directing, controlling, and decision
making. Managers plan by setting goals and objectives for the company and devising strategies for
achieving those goals. Then they direct the day-to-day operations of the company in light of the goals and
objectives. They control the company by comparing actual results to plans and then use that feedback to
adjust plans and operations. Throughout all aspects of these duties, management is making critical
business decisions.
Student responses may vary.
(5–10 min.) S1-2
a. Managerial accounting
b. Managerial accounting
c. Financial accounting
d. Financial accounting
e. Managerial accounting
f. Managerial accounting
g. Financial accounting
h. Managerial accounting
i. Financial accounting
j. Financial accounting
k. Financial accounting
l. Financial accounting
m. Managerial accounting
,Managerial Accounting Fifth Canadian Edition Instructor’s Solutions Manual
(5–10 min.) S1-3
a. Internal auditing department
b. Controller
c. Treasurer
d. Internal auditing department
e. Controller
f. Controller
g. Treasurer
h. Internal auditing department
i. Controller
j. Controller
k. Treasurer
l. Internal auditing department
m. Controller
(5–10 min.) S1-4
Characteristic Check () if related to
internal auditing
a. Helps to ensure that the company’s internal controls are
functioning properly
b. Reports to the treasurer or controller
c. Required by the Toronto Stock Exchange if company stock
is publicly traded on the TSX
d. Reports directly to the audit committee
e. Ensures that the company achieves its profit goals
f. Is part of the accounting department
g. Usually reports to a senior executive (CFO or CEO) for
administrative matters
h. Performs the same function as independent certified public
accountants
i. External audits can be performed by the internal auditing
department
, Managerial Accounting Fifth Canadian Edition Instructor’s Solutions Manual
(10 min.) S1-5
Each of the five ethical standards contributes to maintaining CPA Canada’s expectation that management
accountants will uphold the highest standards of ethical behaviour.
Without the necessary competence, management accountants will be unable to perform their
responsibilities. Even if they do recognize an ethical dilemma, they could lack the competence required to
determine all the alternative courses of action and the implications of each alternative. Having
independence is important for minimizing or eliminating the impact of others’ influences. Management
accountants need to provide opinions based on their own interpretation of data rather than the
interpretations of other stakeholders.
Management accountants have access to confidential information. If they do not maintain that
confidentiality, their companies could suffer. Their companies would be reluctant to provide access to
information, which would prevent management accountants from performing their responsibilities.
Additionally, employers must have confidence that management accountants have the integrity to apply
their skills appropriately and avoid being prejudiced by any conflicts of interest.
Management accountants should have the ability as well to effectively analyze situations so that they
might communicate them faithfully to employers, regulators, or clients to ensure proper action is taken.
Finally, an important part of management accountants’ responsibilities is communicating information
and providing reports to senior management. To be able to rely on these reports, management must have
confidence that the management accountant is not hiding inconvenient facts or presenting a biased view.
Student responses may vary.
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