Chapter 5-8 Midterms
-Ashley, who is a graphic designer: She maintains eye contact with the clients who are viewing the presentation. -Good business writing flows naturally like spoken language. To strike the right tone for the message. It is important that an individual: uses the active voice to facilitate concise communication. -Sally has recently joined Reed Information Inc: use personal pronouns, such as "I" and "you," whenever appropriate -Communication channels:The various ways in which a message can be sent, ranging from one-on-one in-person meetings to internet message boards are called -Tanya is planning a presentation on best practices in communication. Audiences can only absorb about two to four main points. -Benjamin works for a private firm that has been contracted to examine the books of accounts of the Luigi Corporation: external auditor -BUDGETING is a management tool that explicitly shows how a firm will acquire and use the resources needed to achieve its goals over a specific time period:
-Business Communication: It should seek and understand feedback from the speakers audience. -Business writing: End sentences with prepositions when it sounds natural -Texting: should be ideally used when the content is uncontroversial and a quick response regarding relatively simple issues -Bias:is a preconception about a particular group. -During English class, Ingrid was having difficulty paying attention to the presentation: Physical barriers the cold and the table -David, the divisional head at the Unicorn Systems Inc: face-to-face meeting -Before beginning her presentation, Niharika told her audience she would answer questions at the end of her presentation. Vincent walked in late during the presentation and began asking questions: advising Vincent and reminding the audience that there is plenty of time or questions at the end
-A flexible budget: differentiates the budgeted costs for each sales level. -The number of key ideas covered in the body of a presentation should be: two to four, whereas three ideas would be ideal -Memos or reports: should be used to communicate lengthy and detailed information. -An email: has the lowest degree of channel richness -use contraction: to achieve effective business writing -Walter wants to inform his employees about a pay cut: an explanation is presented before presenting the bottom line - If you encounter a hostile questioner while giving a presentation, you should avoid: reestablishing eye contact once you have answered the question. -Rachel is the owner of Precious You Inc., a store that sells designer jewelry: Email communication -The capital expenditure budget: identifies a firm's planned investments in major fixed assets and long-term projects
-Florence talks with a client that can get her firm the next project Gestures and emotions -In the context of communication barriers, CULTURAL BARIERS include everything from how you greet colleagues and eye contact to how you handle disagreement, eat business meals, and make small talk at meetings -Miguel has an idea for a new project management software application that will enhance the efficiency of his units operations: take a sip of water, send himself positive messages, and visualize success -While communicating a message to a regular audience: words that communicate biases have to be avoided -At Delta Energy and Co., managers and team leaders sit in separate glass bins: physical barrier -The BALANCE SHEET reports the financial position of a firm by identifying and reporting the value of the firm's assets, liabilities, and owners' equity:
-Betty's job entails detecting problems such as embezzlement, waste, mismanagement, and employee theft at her organization. In this case, Betty is a(n) _____.internal auditor -OPERATING: budgets communicate an organization's sales and production goals and the resources needed to achieve these goals. -Established by the Sarbanes-Oxley Act of 2002, it is the responsibility of the PUBLIC COMPANY ACCOUNTING OVERSIGHT BOARD: to protect the interests of investors and further the public interest in the preparation of informative, fair, and independent audit reports. -The financial statement of GudWater Co. summarizes that the company's sales revenue = $280,000 and the expenses = $350,000. The net income incurred by GudWater Co. is: $70,000 loss -The balance sheet of Pluto Inc. provides the following information: Current liabilities = $19,000, long-term loan = $30,000, and retained earnings = $24,000. The total dollar value of Pluto Inc.'s assets is _____.$73,000 -Kyra Inc. has applied for a business loan in the United Bank: profit and loss statement -A PROFIT AND LOSS STATEMENT: is a financial statement that reports the revenues, expenses, and net income that resulted from a firm's operations over an accounting period.
-Managerial accounting: provides reports and analysis to managers to help them make informed business decisions -According to the accounting equation, Assets = LIABILITIES + Owners' Equity. -Analysis of financial statements that compares account values reported on these statements over two or more years to identify changes and trends is called HORIZONTAL analysis. -Which of the following characterizes managerial accounting? It provides both financial and nonfinancial information. -Which of the following is true of internal auditors?They detect problems, such as waste, mismanagement, embezzlement, and employee theft in their organization. -A(n) UNQUALIFIED: opinion is issued if an external auditor does not find any problems with the way a firm prepares and presents its financial statements. -GAAP: is a set of accounting standards that is used in the preparation of financial statements.
-Which of the following refers to the claims that stockholders have against their firm's assets: Owners' equity -ACCOUNTING: is a system for recognizing, organizing, analyzing, and reporting information about the financial transactions that affect an organization. -DIRECT COSTS: are costs that are incurred as the result of some specific cost object. -Congress passed the Sarbanes-Oxley Act of 2002 to combat widespread accounting malpractice
-The members of the Financial Accounting Standards Board (FASB) were analyzing the annual financial statements of Neptune Corp. Which of the following, if true, would indicate that the financial statements of Neptune Corp. do not meet the standards set by FASB: The financial statements overstated the firm's earnings and excluded the debts. -Rose and Peter are planning to set up a department store at Mexico. direct and indirect
- FINANCIAL ACCOUNTING: is a branch of accounting that addresses the needs of external stakeholders, including stockholders, creditors, and government regulators. -Accounts receivable is categorized as a(n) :CURRENT ASSET -Which of the following is a disadvantage of participatory budgeting? It can lead to budgetary slack -In activity-based costing, product costs are assigned based on links between activities that drive costs and the: production of specific goods -In order to preserve independence and impartiality, Financial Accounting Standards Board (FASB) members are required to: sever all ties with any firms or institutions they served prior to joining the board -If external auditors do not find any problem with the way a firm's financial statements are prepared and presented, they offer a(n): CLEAN opinion. -NewTech Inc. developed a sales budget and used this budgeted sales level to develop its production budget operating -Which of the following statements is true of the Financial Accounting Standards Board (FASB): Its members can be reappointed to serve one additional term
-Which of the following is a difference between financial accounting and managerial accounting?: Financial accounting provides stockholders with information about the overall financial performance of a firm, whereas managerial accounting is designed to meet the needs of company managers. -Sebastian is an employee of Power Trans Inc: management accountant -A(n): IMPLICIT cost is the opportunity cost that arises when a firm uses owner-supplied resources. -While financial accounting is intended to provide financial information to outside parties: MANAGERIAL accounting is intended to provide information to parties inside the organization: -Matt is asked by Clint Publishers to carry out an external audit of its books. He is also asked to prepare the tax returns for another client, Mrs. Zhirkov. Matt is a : public accountant -Horizontal analysis is the comparison of: account values reported on financial statements over two or more years.
-To make a forecast of the finances, Susan needs the debt, cost, and profit statistics of all branches of the PTree Corporation. Based on the information that she needs, Susan is a: financial manager -PowersGroup provides accounting services to private sector clients on a fee basis: public accountant -Annual reports include NOTES that disclose additional information about a firm's operations and special circumstances that clarify and supplement the numbers reported on the financial statements. -Paul, an external auditor, is performing an annual auditing of Rainbow Inc: qualified -retained earnings: would be listed in the owners' equity section of a balance sheet. -Which of the following statements is true of activity-based costing? It is more complex than the direct labor method -Which of the following bodies makes U.S. accounting practices more consistent with those in other nations along with the Financial Accounting Standards Board (FASB)?The International Accounting Standards Board (IASB)
-Which of the following is true of an external audit performed at a company? It verifies if the company's financial statements are properly prepared in accordance with GAAP. -Which of the following best defines cost? The value of what is given up in exchange for something else -Which of the following is an advantage of using bottom-up budgeting? Middle managers are likely to be highly motivated to achieve budgetary goals. -PUBLIC accountants provide services such as tax preparation and external auditing to clients on a fee basis: -Which of the following is true of financial accounting? It is governed by a set of generally accepted accounting principles. -Through the generally accepted accounting principles (GAAP), the Financial Accounting Standards Board (FASB) aims to ensure that financial statements are: relevant, reliable, consistent, and comparable
- Effective communication:must be dynamic, fluid, and two -way -Weekly employees: are least likely to spend most of their time listening. -Executives: are most likely to spend most of their time listening. -Dynamic delivery and tip: Begins ad ends with preparation. Tip: Slow down, listen to yourself, and stick to your allotted time. -A key to successful delivery is to: vary your voice, expressions, and body language. -Business emails: Response to emails should be as prompt as possible. -Organization barrier: An unspoken rule about formal communication within the firm.
-Which of the following is true of communication channels: The needs and expectations of the audience play a crucial role in the choice of communication channel. -The goal of nonverbal communication should be to: reinforce the meaning of the message. -Video Conferencing:has the highest level of channel richness and is used when the message is personal, emotional, or high-priority. -Writing messages: Block paraphrases create a more organized look for a page. -Contractions: Should be used to write high-impact messages. -Gender Bias: "A general physician must spend at least 30 minutes with his client to understand the symptoms."
-Locklear Inc. is a real estate company. At the firm, it is understood that lower-level employees cannot question managers decisions: organizational barriers. The lower level employees are facing ORGANIZATIONAL BARRIERS of communication. -Using Active and passive voice in communication: A benefit of using active voice is that it creates deeper trust with the audience -In communication, the term NOISE refers to any interference that causes the message one sends to be different from the message one's audience understands -Rebecca is evaluating Microsoft PowerPoint presentations of few business students: Laura starts her presentation with a compelling story and keeps the body and the close of the presentation simple. -Lance sees an advertisement in the paper for a chef's job at a continental restaurant, "Please apply only if you were born in Continental Europe: racial bias -Communication barriers: In the context of communication barriers, physical barriers range from a document that looks like a wall type, to a room that's freezing cold, to chairs in your office that force your visitor to sit at a lower level than you.
PowerPoint presentation: -Use pictures and graphics whenever possible. Paraphrase the messages on the slides. Ideally followed in one's presentation: Tell the audience the key points before launching into the body of the presentation. -A manager at Orifeon Corporation has learned that one of his employees has been engaging in fraudulent activities: Telephone, face-to-face meeting, text message -Robert, a salesman for SaturnTele Inc., was told during his performance appraisal that he needs to improve his nonverbal communication skills: Robert should modulate the tone of his voice to maintain the listeners attention. -Catherine, an employee at Coral Inc: She should not exhibit defensive behavior while dealing with hostile questioners.
True -If you are addressing a mixed audience from different educational levels and backgrounds, using jargons, high level of vocabulary, and increasing the complexity of the message is not recommended. -Memos are a good communication channel when the intent is to convey an uncontroversial but detailed message to a large number of people. -In American culture, older people tend to experience negative age bias more often than younger people. -Effective communication happens when one transmits relevant meaning to one's audience. -John and Elizabeth are evaluating three telecommunication companies to determine the best company to invest in. Horizontal analysis will enable them to make comparisons of financial statements of the three companies over the past several years and help determine the increase in their profits. -Business writers should consider how the audience will respond to their message--think about how they will feel about the information -Government accountants primarily use accounting information to meet the reporting needs of federal and state agencies: -Alexis decides to check with his accountant how much money his company owes to the raw materials supplier -The CFO of SpotLight Production Company requests his accountant Felipe to prepare a customized report of the cost overruns at the company's production facility in L.A. Felipe is a managerial accountant..
false -One of the most effective ways to improve written or verbal communication is to make extensive use of slang to enliven and enrich the message. - During a PowerPoint presentation, a presenter should look at the slides rather than the audience. -The higher you go in an organization, the lesser you find that people are listening. - In face-to-face communication, the verbal content of a message conveys much more meaning to the listener than the tone of voice and facial expression. -An email should be lengthy and should have as many attachments as possible to communicate a message. -Communication must be static rather than dynamic -One of the most effective ways to improve written or verbal communication is to make extensive use of slang to enliven and enrich the message -Since it deals strictly with numbers, the practice of accounting is free from ethical obligations. -A firm's operating budget represents a firm's overall plan of action for a specified time period. -Accounting systems are utilized by companies for several reasons, but they have little value when it comes to making economic decisions: -Liabilities do not include bank loans and current payments owed to suppliers. -Felix runs Green Zone Inc., a nursery and landscaping venture. -In the context of budgeting, the top-down approach is more time consuming than the bottom-up approach. The members of the Financial Accounting Standards Board (FASB) are appointed by the Securities and Exchange Commission.
