Reference no: EM133130534

Questions -

Q1. Flexibility of practice when applied to managerial accounting means that:

A) The information must be presented in electronic format so that it is easily changed.

B) Managers must be willing to accept the information as the accountants present it to them, rather than in the format they ask for.

C) Managerial accounting information must follow concepts and rules known as GAAP.

D) Managerial accounting systems provide internal information reflecting the needs of managers to analyze, plan, and control products and processes.

E) Managerial accounting systems must provide consistent and comparable financial statements across companies.

Q2. A cash equivalent is:

A) An investment readily convertible to a known amount of cash and sufficiently close to maturity so its market value is unaffected by interest rate changes.

B) Close to its maturity date but its market value may still be affected by interest rate changes.

C) An account payable due within 5 months.

D) Is not considered highly liquid.

E) One example of a noncash investing and financing activity.

Q3. Gard Company has $40,000 cash at the beginning of March and budgets $150,000 in cash receipts from sales and $200,500 in cash payments during March. Determine the company's preliminary cash balance?

A) $190,000.

B) $10,500.

C) $(50,500).

D) $(10,500).

E) $110,000.