The Management Accountant at Woodhaven Cycle Shoppe Developed a Budget

question 59

Multiple Choice

The management accountant at Woodhaven Cycle Shoppe developed a budget to establish the sales goals at the store in 2012. In 2013, the management accountant evaluated the performance in the organization, reviewed the performance of the sales staff, and compared the sales results to the actual budget that the managerial accountant developed in 2012. Which of the following management accounting responsibilities is the management accountant using in this example?

• A)Planning
• B)Directing
• C)Controlling
• D)Designing
• E)Implementing

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Definitions:

Arbitration

A method of resolving disputes outside the courts, where the parties to a dispute refer it to one or more persons (the arbitrators, arbiters, or arbitral tribunal), whose decision (the award) they agree to be bound by.

Arbitrator

An independent, neutral third party chosen to settle a dispute or conflict between two parties outside of the court system, often in labor or commercial disputes.

Contract

A legally binding agreement between two or more parties that outlines the terms and conditions of a particular arrangement.

Mediation

A form of conflict resolution where a neutral third party helps disputing parties find a mutually acceptable solution.