Chapter 1, Problem 1MC

The managers of an organization are responsible for performing several broad functions. They are ____________________________.

1. planning, controlling, and selling
2. directing, controlling, and evaluating
3. planning, evaluating, and manufacturing
4. planning, controlling, and evaluating

To determine

Concept introduction:

Accounting is an art of collecting, recording, summarizing and presenting the financial information in a meaningful output. The person who does the accounting is called “Accountant”. The accountant follows some principles to do the accounting; the principles are called ‘Accounting Principles”.

Managerial accounting is the branch of accounting used to generate reports for the purpose of decision makings by managers. The manager uses various types of reports like cost report to take the decision on the costing. The cost of the product is used to determine the profit from the product.

To choose:

The broad functions of management

Answer to Problem 1MC

D. Planning, controlling, and evaluating

Explanation of Solution

Explanation for correct answer:

The broad functions of management are planning, controlling, and evaluating. Hence the correct option is D.

Explanation for incorrect answers:

A. The broad functions of management are planning, controlling, and evaluating. Hence this option is incorrect.

B. The broad functions of management are planning, controlling, and evaluating. Hence this option is incorrect.

C. The broad functions of management are planning, controlling, and evaluating. Hence this option is incorrect.