Business and Accounting Terms: Audit Committees to Managerial Accounting, Quizzes of Accounting

Download Business and Accounting Terms: Audit Committees to Managerial Accounting and more Quizzes Accounting in PDF only on Docsity! TERM 1 Audit Committee DEFINITION 1 a subcomittee of the board of directors that is responsible for overseeing both the internal audit function and the annual financial statement audit by independent CPAs TERM 2 board of directors DEFINITION 2 the body elect by shareholders to oversee the company TERM 3 budget DEFINITION 3 a quantitative expression of a plan for a defined period of time. It may include planned sales volumes and revenues, resource quantities, costs and expenses, assets, liabilities and cash flows. TERM 4 Certified Management Accountant (CMA) DEFINITION 4 a professional certification issued by the IMA to designate expertise in the areas of managerial accounting , economics, and business finance TERM 5 Chief Executive Officer (CEO) DEFINITION 5 the position hired b the board of directors to oversee the company on a daily basis TERM 6 Chief Financial Officer (CFO) DEFINITION 6 a corporate officer primarily responsible for managing the financial risks of the corporation. TERM 7 Chief Operating Officer (COO) DEFINITION 7 the position responsible for overseeing the company's operations TERM 8 Controller DEFINITION 8 the position responsible for general financial accounting, managerial accounting, and tax reporting TERM 9 Controlling DEFINITION 9 on of management's primary responsibilities; evaluaitng the results of business operations against the plan and making adjustments to keep the company pressing toward its goal TERM 10 Cost Benefit Analysis DEFINITION 10 a systematic process for calculating and comparing benefits and costs of a project, decision or government policy (hereafter, "project"). TERM 21 Lean Thinking DEFINITION 21 a philosophy and business strategy of operating without waste TERM 22 Planning DEFINITION 22 the process of thinking about and organizing the activities required to achieve a desired goal. TERM 23 Sarbanes-Oxley Act of 2002 DEFINITION 23 also known as the 'Public Company Accounting Reform and Investor Protection Act' (in the Senate) and 'Corporate and Auditing Accountability and Responsibility Act' (in the House) and more commonly called Sarbanes-Oxley, Sarbox or SOX, is a United States federal law that set new or enhanced standards for all U.S. TERM 24 Sustainability DEFINITION 24 the ability to meet the needs of the present without compromising the ability of future generations to meet their own needs TERM 25 Throughput Time DEFINITION 25 the time between buying raw materials and selling finished Products TERM 26 Treasurer DEFINITION 26 the position responsible for raising the firm's capital and investing funds TERM 27 Triple Bottom Line DEFINITION 27 evaluating a company's performance not only by its ability to generate economic profits, but also by its impact on people and the planetthe "bottom line" refers to the sum of revenue minus expenses, which is either "loss" if negative, or "profit" if positive. TERM 28 Total Quality Management DEFINITION 28 a management philosophy of delighting customers with superior products and services by continually setting higher goals and improving the performance of every business function TERM 29 Managerial accountants DEFINITION 29 internal users such as managers TERM 30 Managerial accountants DEFINITION 30 to help managers pan direct and control business operations and make business decisions TERM 31 Managerial accountants DEFINITION 31 any internal accounting report deemed worthwhile by management TERM 32 Managerial accountants DEFINITION 32 management determines what it wants in a rep or and how it wants it formatted reports are prepared only when management believes the benefit of using the report exceeds the cost of preparing the report TERM 33 Managerial accountants DEFINITION 33 while some information is based on past transactions ____________________ focus is on the future needs of the companyit provides information on internal and external parties TERM 34 Managerial accountants DEFINITION 34 the data must be relevant TERM 35 Managerial accountants DEFINITION 35 segments of the business such as products customers geographical regions departments and divisions TERM 46 Financial Accounting DEFINITION 46 The company as a wholeLimited segments data is provided in the footnotes TERM 47 Financial Accounting DEFINITION 47 Provide their information Annually and Quarterly TERM 48 Financial Accounting DEFINITION 48 Independent CPAs audit the annual financial statements of publicly traded companies and express an opinion on the fairness of the financial information they contain TERM 49 Financial Accounting DEFINITION 49 Yes, the SEC requires publicly traded companies to issue annual audited financial statements TERM 50 Financial Accounting DEFINITION 50 the concern is about adequacy of disclosure behavioral implications are secondary TERM 51 Competence DEFINITION 51 maintain an apropriate level of professional expertise by continually developing knowledge and skills TERM 52 Competence DEFINITION 52 perform professional duties in accordance with relevant laws regulations and technical standards TERM 53 Competence DEFINITION 53 Provide decisions support information and recommendations that are accurate clear concise and timely TERM 54 Competence DEFINITION 54 Recognize and communicate professional limitations or other constraints that would preclude responsible judgement or successful performance of an activity TERM 55 Confidentiality DEFINITION 55 Keep information confidential except when disclosure is authorized or legally required TERM 56 Confidentiality DEFINITION 56 Inform all relevant parties regarding appropriate use of confidential information. Monitor subordinates activities to ensure compliance TERM 57 Confidentiality DEFINITION 57 Refrain from using confidential information for unethical or illegal advantage TERM 58 Integrity DEFINITION 58 Mitigate actual conflicts of interest. Regularly communicate with business associates to avoid apparent conflicts of interest.Advise all parties of any potential conflicts TERM 59 Integrity DEFINITION 59 refrain from engaging in any conduct that would prejudice carrying out duties ethically TERM 60 Integrity DEFINITION 60 Abstain from engaging in or supporting any activity that might dicredit the profession