ACC 556 STR Course Great Wisdom / tutorialrank.com ACC 556 STR Course Great Wisdom / tutorialrank.com | Page 48

Chapter 22 Quiz

Question 1
Budget reports comparing actual results with planned objectives
should be prepared only once a year.
Question 2
A static budget is changed only when actual activity is different from
the level of activity expected.
Question 3
Management by exception means that management will investigat e
areas where actual results differ from planned results if the items are
material and controllable.
Question 4
Budget reports provide the feedback needed by management to see
whether actual operations are on course.
Question 5
The manager of an investment center can improve ROI by reducing
average operating assets.
Question 6
What is budgetary control?
Question 7
A static budget is appropriate in evaluating a manager's performance
if
Question 8