18 Questions
What does formalization of tasks do?
It allows for specification of information needed to support tasks.
Which factor influences MRS design according to the text?
Centralized access to accounting records
What is the relationship between responsibility and authority?
Responsibility involves achieving desired results, while authority involves decision-making power within limits.
Which type of accounting reports are considered in factors influencing MRS design?
Management reports
What defines the vertical reporting channels according to management principles?
'Responsibility' and 'authority'
How does responsibility accounting impact management decision-making?
By specifying accountability for achieving desired results
What is the primary objective of management reports?
Reduce the level of uncertainty
Which attribute is NOT important for report quality according to the text?
Inaccuracy
What should reports ideally contribute to decision making?
Influence the behavior of the decision maker in a positive way
Which type of access to accounting records is emphasized in the text?
Centralized access
What is a key attribute of a good management report, as mentioned in the text?
Conciseness
In what way should reports influence decision makers, according to the text?
Influence behavior in a positive way
What does 'Management by exception' suggest?
Managers should limit their attention to potential problem areas.
Which principle refers to the number of subordinates directly under the manager's control?
Span of control
What type of reports are recommended for managers with narrow spans of control?
Detailed reports
Which factor should reports focus on according to management by exception?
Changes in key factors indicative of problems
What does a wide span of control imply?
Many subordinates under the manager's control
In terms of span of control, what is recommended for managers with broad spans?
Summarized information
This quiz covers the factors that influence MRS design in accounting information systems according to the book 'Accounting Information Systems, 7e' by Hall. Topics include management principles, function, level, decision type, problem structure, types of management reports, responsibility accounting, and behavioral considerations.
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