Q&A Hero

Q: Distributions of cash or other resources by a business to its stockholders are called: A. Dividends. B.Expenses. C.Assets. D.Retained earnings. E.Net Income.

Q: Identify three forms of monetary rewards.

Q: A resource that the stockholder receives from the company is called a(n): A.Liability. B. Dividend. C.Expense. D.Common stock. E.Investment.

Q: Describe how supervisors might need to change their roles after organizing self-directed teams.

Q: To maximize team effectiveness, managers need to do more then just form teams. What should managers do to maximize team effectiveness?

Q: When expenses exceed revenues, the resulting change in equity is: A.Net assets. B.Negative equity. C.Net loss. D.Net income. E.A liability.

Q: List Hackman and Oldham's five desirable characteristics of job design.

Q: Identify the five components of job design.

Q: What impact did the Hawthorne studies have on human resource strategy?

Q: It is said that job expansion has both a vertical component and a horizontal component. Explain, with reference to such terms as job enrichment, job rotation, job enlargement, and employee empowerment.

Q: Decreases in equity that represent costs of providing products or services to customers, used to earn revenues are called: A.Liabilities. B.Equity. C. Dividends. D.Expenses. E. Common Stock.

Q: Explain how job expansion can lead to higher pay rates.

Q: Identify the limitations to job expansion.

Q: How does labor specialization assist in reducing labor costs (list three ways)?

Q: What are the advantages and the disadvantages of the employment-stability policy "holding employment constant?"

Q: What is mutual trust? What is its link to a firm's human resource strategy?

Q: Increases in equity from a company's sales of products or services are: A.Assets. B.Revenues. C.Liabilities. D.Stockholders' Equity. E.Expenses.

Q: Resources a company owns or controls that are expected to yield future benefits are: A.Assets. B.Revenues. C.Liabilities. D.Stockholders' Equity. E.Expenses.

Q: Describe some impacts of noise in the workplace.

Q: What is quality of work life? What is its relation to a firm's human resource strategy?

Q: Provide examples of non-monetary incentives.

Q: The two most complex motions in the methods time measurement (MTM) system are __________ and __________.

Q: Net Income: A.Decreases equity. B.Represents the amount of assets stockholders put into a business. C.Equals assets minus liabilities. D.Is the excess of revenues over expenses. E.Represents stockholders' claims against assets.

Q: __________ estimates, by sampling, the percent of time that a worker spends on various tasks.

Q: An example of an investing activity is: A.Paying wages of employees. B. Dividends paid by the company. C.Purchase of land. D.Selling inventory. E.Contributions from s tockholders.

Q: __________ divide(s) manual work into small basic elements that have established and widely accepted times.

Q: __________ involves timing a sample of a worker's performance and using it as a basis for setting a standard time.

Q: __________ allowances are those that include the distance from employees to restrooms, water fountains, and other facilities.

Q: Properly set labor standards represent the amount of time that it should take an average employee to perform specific job activities under __________.

Q: If a company purchases equipment costing $4,500 on credit, the effect on the accounting equation would be: A. Assets increase $4,500 and liabilities decrease $4,500. B. Equity decreases $4,500 and liabilities increase $4,500. C. Liabilities decrease $4,500 and assets increase $4,500. D. Assets increase $4,500 and liabilities increase $4,500. E. Equity increases $4,500 and liabilities decrease $4,500.

Q: Keyboard design, noisy work environment, and dangerous materials or operations in the workplace are all __________ issues with ethical implications.

Q: If a company receives $12,000 from the stockholders to establish a corporation, the effect on the accounting equation would be: A. Assets decrease $12,000 and equity decreases $12,000. B. Assets increase $12,000 and liabilities decrease $12,000. C. Assets increase $12,000 and liabilities increase $12,000. D. Liabilities increase $12,000 and equity decreases $12,000. E. Assets increase $12,000 and equity increases $12,000.

Q: __________ are drawings used to analyze movement of people or material.

Q: If a company uses $1,300 of its cash to purchase supplies, the effect on the accounting equation would be: A. Assets increase $1,300 and liabilities decrease $1,300. B. One asset increases $1,300 and another asset decreases $1,300, causing no effect. C. Assets decrease $1,300 and equity decreases $1,300. D. Assets decrease $1,300 and equity increases $1,300. E. Assets increase $1,300 and liabilities decrease $1,300.

Q: The study of work, often called human factors, is called __________.

Q: In a business decision where there are ethical concerns, the preferred course of action should be one that: A. Is agreed upon by the most managers. B. Maximizes the company's profits. C. Results in maintaining operations at the current level. D. Costs the least to implement. E. Avoids casting doubt on the decision maker and upholds trust.

Q: __________ is a system providing some portion of any profit for distribution to employees.

Q: A(n) __________ is a group of empowered individuals working together to reach a common goal.

Q: Which of the following purposes would financial statements serve for external users? A. To find information about projected costs and revenues of proposed products. B. To assess employee performance and compensation. C. To assist in monitoring consumer needs and price concerns. D. To fulfill regulatory requirements for companies whose stock is sold to the public. E. To determine purchasing needs.

Q: __________ involves enlarging employee jobs so that the added responsibility and authority is moved to the lowest possible level in the organization.

Q: Revenue is properly recognized: A.When the customer makes an order. B.Only if the transaction creates an account receivable. C.At the end of the accounting period. D.Upon completion of the sale or when services have been performed and the business obtains the right to collect the sales price. E.When cash from a sale is received.

Q: __________ showed that there is a dynamic social system in the workplace.

Q: Which of the following accounting principles require that all goods and services purchased be recorded at actual cost? A.Going-concern assumption. B.Matching principle. C.Cost principle. D.Business entity assumption. E.Consideration assumption.

Q: __________ is a method of giving an employee more responsibility that includes some of the planning and control necessary for job accomplishment.

Q: __________ is the grouping of a variety of tasks using the same approximate skill level.

Q: A partnership: A.Is also called a sole proprietorship. B.Has unlimited liability for its partners. C.Has to have a written agreement in order to be legal. D.Is a legal organization separate from its owners. E.Has owners called shareholders.

Q: __________ is an approach that specifies the tasks that constitute a job for an individual or a group.

Q: __________ refers to a work schedule that deviates from the normal or standard five 8-hour days.

Q: Marsha Bogswell is the owner of Bogswell Legal Services, Inc. Which accounting principle requires Marsha to keep her personal financial information separate from the financial information of Bogswell Legal Services, Inc.? A.Monetary unit assumption. B.Going-concern assumption. C.Cost principle. D.Business entity assumption. E.Matching principle.

Q: __________ is a means of determining staffing policies dealing with employment stability and work schedules.

Q: On December 15 of the current year, Conrad Accounting Services signed a $40,000 contract with a client to provide bookkeeping services to the client in the following year. Which accounting principle would require Conrad Accounting Services to record the bookkeeping revenue in the following year and not the year the cash was received? A.Monetary unit assumption. B.Going-concern assumption. C.Cost principle. D.Business entity assumption. E.Revenue recognition principle.

Q: __________ means a job that is not only reasonably safe and for which the pay is equitable, but which also achieves an appropriate level of both physical and psychological requirements.

Q: The Superior Company acquired a building for $500,000. The building was appraised at a value of $575,000. The seller had paid $300,000 for the building 6 years ago. Which accounting principle would require Superior to record the building on its records at $500,000? A.Monetary unit assumption. B.Going-concern assumption. C.Cost principle. D.Business entity assumption. E.Revenue recognition principle.

Q: A disadvantage of work sampling is that A) it tends to be less accurate, particularly when task times are short B) it observes several workers simultaneously C) it is more expensive than time-study methods D) it is more intrusive than time-study methods, and therefore generates more complaints E) All of the above are disadvantages of work sampling.

Q: An advantage of work sampling is that A) no observation is required B) it involves study of the equipment only C) a performance rating is necessary D) the time spent observing the employee is relatively short E) it is more effective than time studies when task times are short

Q: The tally sheet data from a work sampling study provides information regarding A) the number of wasted motions B) the level of difficulty in a motion C) the percent of time spent on various tasks D) the quality of the work environment E) the number of micro-motions involved

Q: A bank manager wants to determine the percent of time the bank's tellers are working and idle. He decides to use work sampling, and his initial estimate is that the tellers are idle 20% of the time. Approximately how many observations should be taken to be 95% confident that the results will not be more than 5% away from the true result? A) 6 B) 16 C) 44 D) 210 E) 246

Q: A technique for estimating the proportion of time a worker spends on various activities is A) stopwatch time study B) simultaneous motion study C) work sampling D) standard elemental (historical) times E) predetermined (published) time standards

Q: Which of the following is true regarding work sampling? A) The technique was developed in the 1890s. B) It can be used to estimate the percentage of time workers spend in unavoidable delays. C) The method was developed by Frank Gilbreth. D) The method makes extensive use of rest allowances. E) All of the above are false.

Q: To include the personal assets and transactions of a business's stockholders in the records and reports of the business would be in conflict with the: A.Objectivity principle. B.Monetary unit assumption. C.Business entity assumption. D.Going-concern assumption. E.Revenue recognition principle.

Q: If a company is considering the purchase of a parcel of land that was acquired by the seller for $85,000, is offered for sale at $150,000, is assessed for tax purposes at $95,000, is recognized by the purchaser as easily being worth $140,000, and is purchased for $137,000, the land should be recorded in the purchaser's books at: A.$95,000. B.$137,000. C.$138,500. D.$140,000. E.$150,000.

Q: All of the following are advantages of predetermined time standards except A) they are customized to your company B) they are well accepted C) no performance ratings are necessary D) the standard can be set before the task is done and then can be used for planning E) they are based on a large number of workers

Q: Among the advantages of predetermined time standards are all of the following except A) unions accept them as fair B) they are available before a task is actually performed C) they can only be determined after work actually takes place D) they can be established in a laboratory setting E) no performance ratings are necessary

Q: Predetermined time standards are an outgrowth of basic motions called A) flow diagrams B) activity charts C) SAE standards D) man-machine charts E) therbligs

Q: The accounting concept that requires every business to be accounted for separately from other business entities, including its owner or owners is known as the: A.Time-period assumption. B.Business entity assumption. C.Going-concern assumption. D.Revenue recognition principle. E.Cost principle.

Q: Therbligs are A) the smallest unit of time used in methods time measurement exercises B) the largest unit of time used in methods time measurement exercises C) the smallest unit of basic motion used in methods time measurement exercises D) the largest unit of basic motion used in methods time measurement exercises E) the smallest amount of time required to complete a job

Q: The private-sector group that currently has the authority to establish generally accepted accounting principles in the United States is the: A.APB. B.FASB. C.AAA. D.AICPA. E.SEC.

Q: The independent group that is attempting to harmonize accounting practices of different countries is the: A.AICPA. B.IASB. C.CAP. D.SEC. E.FASB.

Q: Therbligs A) were invented by Frederick W. Taylor B) were used during the scientific management era, and are no longer in use C) are hyperactive rodent-like pets, whose name is associated with time standards D) were named by Frank Gilbreth E) none of the above

Q: A Time Measurement Unit, or TMU, is A) the same as a Therblig B) 0.00001 minute C) 0.00001 hour D) the duration of the easiest GET motion E) an historical experience standard

Q: A corporation is: A.A business legally separate from its owners. B.Controlled by the FASB. C.Not responsible for its own acts and own debts. D.The same as a limited liability partnership. E.Not subject to double taxation.

Q: Sample observations of a claims processor made over a 160-hour work month reveal that the worker produced a total of 384 completed claims forms. The performance rating was 80%. The worker was idle 20% of the time (so that idle time should be subtracted from the total time when computing the average observed time). The allowance factor is 8%. What is the standard time per unit? A) 0.42 minutes B) 16.0 minutes C) 17.4 minutes D) 20.0 minutes E) 21.7 minutes

Q: Sample observations of a claims processor made over a 160-hour work month reveal that the worker produced a total of 384 completed claims forms. The performance rating was 80%. The worker was idle 20% of the time (so that idle time should be subtracted from the total time when computing the average observed time). The allowance factor is 8%. What is the normal time per unit? A) 0.42 minutes B) 16.0 minutes C) 17.4 minutes D) 20.0 minutes E) 21.7 minutes

Q: All of the following are true regarding ethics except: A.Ethics are beliefs that separate right from wrong. B.Ethics rules are often set for CPAs. C.Ethics do not affect the operations or outcome of a company. D.Are critical in accounting. E.Ethics can be difficult to apply.

Q: A work sampling study requires an acceptable error level of 10 percent and z = 2 for 95.45 percent confidence. The adequate sample size is __________ if the sample proportion is thought to be as large as 50 percent, but __________ if the sample proportion is thought to be about 20 percent. A) 50; 20 B) 100; 64 C) 100; 16 D) 20; 50 E) cannot be determined from the information given

Q: The conceptual framework that the Financial Accounting Standards Board (FASB) and the International Accounting Standards Board (IASB) are attempting to converge and enhance includes the following broad areas to guide standard setting except: A. Objectives B. Qualitative characteristics C. Uniformity D. Elements E. Recognition and measurement

Q: Which of these is the most common predetermined time standard? A) CSD B) TMU C) RCH D) SAE E) MTM

Q: Ethical behavior requires that: A.Auditors' pay not depend on the success of the client's business. B.Auditors invest in businesses they audit. C.Analysts report information favorable to their companies. D.Managers use accounting information to benefit themselves. E.Auditors' pay depends on the success of the client's business.

Q: The accuracy of a labor standard is to be within 5%, and the confidence level is 95%. The standard deviation of the sample is 2 and the mean is 8. What sample size should be used? A) 8 B) 10 C) 96 D) 127 E) cannot be determined from the information given

Q: All of the following regarding a Certified Public Accountant are true except: A.Must meet education and experience requirements. B.Must pass an examination. C.Must exhibit ethical character. D.May also be a Certified Management Accountant. E.Cannot hold any certificate other than a CPA.