The Management Accountant at Technology Innovators Determined $500,000 Is the Organization's

question 173

Multiple Choice

The management accountant at Technology Innovators determined $500,000 is the organization's earning goal to accommodate the organizational plan during the first quarter during a new year. The accountant realizes that to achieve the new earning goal, the operations manager needs to increase the price of technology parts charged to a consumer to $250.00 per unit. The manager is scheduling a new staff meeting to determine if they need to increase the marketing efforts at the firm, or if they need to design a new part that uses materials that are less expensive to produce. Which of the following management responsibilities is the managerial accountant using in this example?

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

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Definitions:

Imported Raw Materials

Raw or unprocessed goods brought into a country from abroad for use in manufacturing or production.

Real GDP

Gross Domestic Product adjusted for inflation, measuring the value of goods and services produced by an economy in a given year, expressed in base-year prices.

Nominal GDP

GDP based on prices prevailing at the time of production.

Price Level

A measure of the average prices of goods and services in an economy at a specific point in time.