CGA Management Accounting & Strategy

Question 1

What is the main focus of management accounting?

Accepted Answer

Internal decision-making

Answer

Tax preparation

Answer

Compliance auditing

Answer

Filing financial statements

Question 2

What is the key benefit of variance analysis in strategy?

Accepted Answer

Improves budget accuracy

Answer

Promotes employee benefits

Answer

Measures interest rates

Answer

Reduces financial disclosures

Question 3

Which term refers to costs that vary with production volume?

Accepted Answer

Variable costs

Answer

Fixed costs

Answer

Sunk costs

Answer

Opportunity costs

Question 4

Which of the following tools is used for analyzing strategic position?

Accepted Answer

SWOT analysis

Answer

Journal ledger

Answer

Trial balance

Answer

Ledger balancing

Question 5

What type of budgeting starts from zero each new period?

Accepted Answer

Zero-based budgeting

Answer

Traditional budgeting

Answer

Flexible budgeting

Answer

Top-down budgeting

Question 6

Which method improves cost accuracy by assigning overhead based on activities?

Accepted Answer

Activity-based costing

Answer

Standard costing

Answer

Job-order costing

Answer

Marginal costing

Question 7

What does break-even analysis determine?

Accepted Answer

Cost-volume relationships

Answer

Future investment values

Answer

Tax expense forecasts

Answer

Loan amortization schedules

Question 8

Which is a non-financial measure of performance?

Accepted Answer

Customer satisfaction

Answer

Gross profit margin

Answer

Return on equity

Answer

Operating margin

Question 9

What is the role of budgeting in strategic planning?

Accepted Answer

Allocates resources for objectives

Answer

Increases liabilities

Answer

Improves tax compliance

Answer

Monitors exchange rates