1. (a) “Managerial accounting is a ?eld of accounting that provides economic information for all inter-ested parties.” Do you agree? Explain. (b) Joe Delong believes that managerial accounting serves only manufacturing ?rms. Is Joe correct? Explain.

2. Distinguish between managerial and ?nancial accounting as to (a) primary users of reports, (b) types and frequency of reports, and (c) purpose of reports.

3. Linda Olsen is studying for the next accounting midterm examination. Summarize for Linda what she should know about management functions.

4. “Decision-making is management’s most important function.” Do you agree? Why or why not?

5. Jerry Lang is unclear as to the difference between the balance sheets of a merchandising company and a manufacturing company. Explain the difference to Jerry.