Exam (elaborations)
Solution Manual for Managerial Accounting 11th Edition By Ray Garrison, Eric Noreen and Peter Brewer 2024
Solution Manual for Managerial Accounting 11th Edition By Ray Garrison, Eric Noreen and Peter Brewer 2024
[Show more]
Connected book
Book Title:
Author(s):
- Edition:
- ISBN:
- Edition:
Content preview
Solution Manual tManagerial Accounting t
by ffiarrison Noreen
Uploaded by t
Mudassar Hassan t
University of Sargodha
t t
,Chapter 1 t
Managerial Accounting and the Business t t t t
Environment
t
Solutions to Questions t t
1-1 Managerial accounting is concerned with t t t t from making one product to making another al-
t t t t t t t
providing information to managers for use within
t t t t t t t lows the company to respond more quickly to cus-
t t t t t t t t t
the organization. Financial accounting is con-
t t t t t t tomers. Finally, smaller batches make it easier to
t t t t t t t t
cerned with providing information to stockholders,
t t t t t t spot manufacturing problems before they result ina
t t t t t t t t
creditors, and others outside of the organization.
t t t t t t t large number of defective units.
t t t t t
1-2 Essentially, managers carry out three ma- t t t t t 1-7 The main benefits of a successful JIT sys- t t t t t t t
tjor activities in an organization: planning, directing
t t t t t t tem are reductions in: (1) funds tied up in inven-
t t t t t t t t t t
and motivating, and controlling. All three activities
t t t t t t t tories; (2) space requirements; (3) throughput
t t t t t t
involve decision making.
t t t time; and (4) defects.
t t t t
1-3 The Planning and Control Cycle involves t t t t t 1-8 TQM generally approaches improvement t t t
formulating plans, implementing plans, measuring
t t t t t in a series of small steps that are planned and im-
t t t t t t t t t t t
performance, and evaluating differences between
t t t t t plemented by teams of front-line workers. Process
t t t t t t t
planned and actual performance.
t t t t Reengineering involves completely redesigning
t t t t
business processes from the ground up—often
t t t t t t
1-4 A line position is directly related to the t t t t t t t with the use of outside consultants.
t t t t t t
achievement of the basic objectives of the organi-
t t t t t t t t
zation. A staff position is not directly related to the
t t t t t t t t t t 1-9 If Process Reengineering is successful,t t t t
achievement of those objectives; rather, it is sup-
t t t t t t t t fewer workers are needed. If management re-
t t t t t t t
portive, providing services and assistance to other
t t t t t t t sponds by laying off workers, morale will almost
t t t t t t t t
parts of the organization.
t t t t certain suffer.
t t
1-5 In contrast to financial accounting, mana- t t t t t 1-10 Some benefits from improvement efforts t t t t
gerial accounting: (1) focuses on the needs of the
t t t t t t t t t come from cost reductions, but the primary bene-
t t t t t t t t
manager; (2) places more emphasis on the future;
t t t t t t t t fit is often an increase in capacity. At non-con-
t t t t t t t t t
(3) emphasizes relevance and flexibility, rather
t t t t t straints, increases in capacity just add to the al-
t t t t t t t t t
than precision; (4) emphasizes the segments of an
t t t t t t t t ready-existing excess capacity. Therefore, im-
t t t t t
organization; (5) is not governed by GAAP; and
t t t t t t t t provement efforts should ordinarily focus on the
t t t t t t t
(6) is not mandatory. t t constraint.
t
1-6 A number of benefits accrue from reduced t t t t t t 1-11 If people generally did not act ethically in
t t t t t t t
setup time. First, reduced setup time allows a
t t t t t t t t tbusiness, no one would trust anyone else and t t t t t t t
company to produce in smaller batches, which in
t t t t t t t t tpeople would be reluctant to enter into business
t t t t t t t
turn reduces the level of inventories. Second, re-
t t t t t t t t ttransactions. The result would be less funds raised t t t t t t t
duced setup time allows a company to spend more
t t t t t t t t t in capital markets, fewer goods and services avail-
t t t t t t t t
time producing goods and less time getting ready
t t t t t t t t able for sale, lower quality, and higher prices.
t t t t t t t t
to produce. Third, the ability to rapidly change
t t t t t t t t
© The McGraw-Hill Companies, Inc., 2006.
t t t t t
Solutions Manual, Chapter 1 t t t 1
,Uploaded by t Mudassar Hassan
t
Exercise 1-1 (10 minutes)
t t t
1. Line
2. Directing and motivating
t t
3. Budgets
4. Planning
5. Staff
6. Decentralization
7. Precision; Nonmonetary data
t t
8. Managerial accounting; Financial accounting
t t t
9. Feedback
10. Controller
11. Performance report t
12. Chief Financial Officer
t t
© The McGraw-Hill Companies, Inc., 2006. All rights reserved.
t t t t t t t t
2 Managerial Accounting, 11th Edition
t t t
, Exercise 1-2 (10 minutes)
t t t
1. Total quality management; Process reengineering
t t t t
2. Just-In-Time
3. Nonconstraint
4. Benchmarking
5. Setup
6. Constraint
7. Non-value-added activities t
8. Business process t
© The McGraw-Hill Companies, Inc., 2006. All rights reserved.
t t t t t t t t
Solutions Manual, Chapter 1
t t t 3
The benefits of buying summaries with Stuvia:
Guaranteed quality through customer reviews
Stuvia customers have reviewed more than 700,000 summaries. This how you know that you are buying the best documents.
Quick and easy check-out
You can quickly pay through credit card or Stuvia-credit for the summaries. There is no membership needed.
Focus on what matters
Your fellow students write the study notes themselves, which is why the documents are always reliable and up-to-date. This ensures you quickly get to the core!
Frequently asked questions
What do I get when I buy this document?
You get a PDF, available immediately after your purchase. The purchased document is accessible anytime, anywhere and indefinitely through your profile.
Satisfaction guarantee: how does it work?
Our satisfaction guarantee ensures that you always find a study document that suits you well. You fill out a form, and our customer service team takes care of the rest.
Who am I buying these notes from?
Stuvia is a marketplace, so you are not buying this document from us, but from seller bonie314. Stuvia facilitates payment to the seller.
Will I be stuck with a subscription?
No, you only buy these notes for $17.99. You're not tied to anything after your purchase.
Can Stuvia be trusted?
4.6 stars on Google & Trustpilot (+1000 reviews)
50843 documents were sold in the last 30 days
Founded in 2010, the go-to place to buy study notes for 14 years now