Animus Ltd Is a Mining Company Operating in Australia

question 35

Multiple Choice

Animus Ltd is a mining company operating in Australia.The company has recently developed a new environmental management accounting system.According to institutional theory:

• A) The new system is likely to be the result of the Australian culture of being environmentally conscious and the fact that negative environmental impacts can result in significant fines to the company.
• B) The new system is likely to be the result of gaining legitimacy and to imitate other mining companies who are 'doing the right thing'.
• C) The new system is likely to be the result of stringent government regulations.
• D) The new system is likely to be the result of careful,rational,cost-benefit analysis.

---

Definitions:

Cost Reconciliation Report

A report that reconciles the total costs incurred with the costs accounted for in a specific period, used in cost accounting to ensure accuracy.

Work In Process Inventory

Inventory category in manufacturing representing goods that have been started but not yet completed, highlighting a transition state in production.

Transferred Out

In accounting, it refers to the cost of goods or inventory that has been moved from one production process or department to another in the course of manufacturing.

Weighted-Average Method

A method for computing the cost of goods sold and the remaining inventory value that uses the mean cost of all available units.