FREE Certified Management Accountant Trivia Question and Answers

Question 1

Which of the following audit types is more likely to concentrate on goals linked to resource utilization efficiency?

Accepted Answer

Operational audit

Answer

Independent audit

Answer

Compliance audit

Answer

Information systems audit

Question 2

A corporation has a $10,000 negative fixed overhead volume variance. This difference's most likely source is that

Accepted Answer

less was produced than planned

Answer

more was produced than planned

Answer

the production supervisory salaries were greater than planned

Answer

the production supervisory salaries were less than planned

Question 3

Which of the following would be most likely to result in the failure of the planning and budgeting system?

Accepted Answer

top management support

Answer

input from several levels of management

Answer

adherence to rigid budgets during the year

Answer

historical financial data

Question 4

Except for the following, a statement of financial position serves as the foundation for

Accepted Answer

determining profitability and assessing past performance

Answer

evaluating capital structure

Answer

computing rates of return

Answer

assessing liquidity and financial flexibility

Question 5

Which of the following accounting and management methods is least likely to help internal auditors evaluate how effectively the separate profit centers are using resources?

Accepted Answer

Joint Cost Allocations

Answer

Flexible Budgets

Answer

Cost Variance Analysis

Answer

Activity-based Management

Question 6

Which of the following best describes an electronic data processing system's internal control system's weakness?

Accepted Answer

The computer operator oversees program execution and data file custody while carrying out operational instructions.

Answer

New systems are created by the systems analyst, who also oversees system testing.

Answer

The data control group examines, tests, and manages the reprocessing of mistakes that the computer has identified.

Answer

The receivables clerk gathers information, enters it into the computer system, and checks the output for mistakes.

Question 7

Henry Company paid $100,000 for shares in Striped Inc. three years ago. The price of this stock throughout the current fiscal year was $150,000. The outcome of this transaction ought to be represented as follows in Henry' Statement of Cash Flows' Investing Activities section:

Accepted Answer

$150,000

Answer

$50,000

Answer

0

Answer

$100,000