Practice Management Accounting (1.3.2) - Introduction to Accounting - ICSE 11 Accountancy
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Management Accounting

Practice - Management Accounting

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Practice Questions

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Question 1 Easy

What is management accounting?

💡 Hint: Think about internal versus external stakeholders.

Question 2 Easy

Name one output of management accounting.

💡 Hint: These are tools used specifically by managers.

4 more questions available

Interactive Quizzes

Quick quizzes to reinforce your learning

Question 1

What is the primary purpose of management accounting?

To prepare financial statements for external users
To assist internal management in decision-making
To ensure legal compliance

💡 Hint: Think about who uses the information.

Question 2

True or False: Variance analysis only shows where expenses exceed budgets.

True
False

💡 Hint: Can variance analysis show potential savings?

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Challenge Problems

Push your limits with advanced challenges

Challenge 1 Hard

A company estimates its yearly marketing budget to be $50,000. At year-end, actual spending is $75,000. Discuss what steps management might take in response to this outcome using variance analysis.

💡 Hint: What aspects did not go as planned?

Challenge 2 Hard

You’re a manager who has a budget for operational expenses of $100,000. If actual performance at year-end shows expenses of $80,000, what impacts might this have on managing future budgets?

💡 Hint: Good news is from under-spending. How can it be used?

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