$23$

Multiple Choice $4$ points

External audits are used for

evaluating production efficiency

evaluiating financial stability

identifying possible mergers and acquisitions

indentifying earnings potential

$24$ Multiple Choice $4$ points

"I have to help my operations manager reduce expenses," said Tyrone, "but my expense categories$-$salaries, fringes, supplies, and fixed costs$-$are too general to give me guidance."Mavis, his accounting supervisor, said, "Let me show you a different approach, so that you can develop data that will identify areas for expense reduction. I suggest that you use $$ It will identify streams of activity to which you can then allocate costs across particular business processes according to the time employees devote to those activities."

operational costing

activity$-$based costing

sales forecasting

production costing

$25$

Multiple Choice $4$ points

$"$My business relationship with the Midwest sales rep has really deteriorated. We used to cooperate; now we $\text{'}$ said the manager of the Southwest region. "And I blame our new control system. Every month, managers across the entire enterprise get profit lyd loss statements for all divisions and business units. We look at one another's performance and are less likely to help one another when we know that our business unit or division may suffer a loss in profitability as a result. After all, promotions, salary increases, and bonus pools are tled to our profitability $*$

promote change

sabotage

feel unrelated

compete