COMMERCE 2AB3 Final: ch01tif

• School: McMaster University
• Department: Commerce
• Course: COMMERCE 2AB3
• Professor: Karim Karim

Document Summary

True/false: management accounting information focuses on external reporting, a good cost accounting system is narrowly focused on a continuous reduction of costs. A good cost accounting system is broadly focused to provide information that helps managers at all levels implement, monitor, and evaluate company strategies. Difficulty: 2: modern cost accounting plays a significant role in management decision making. The balance sheet, income statement, and statement of cash flows are used for financial accounting, but not for management accounting. The balance sheet, income statement, and statement of cash flows are used for financial accounting and also for management accounting. Financial accounting is broader in scope than management accounting: cost accounting measures and reports short-term, long-term, financial, and nonfinancial. Management accounting is broader in scope than financial accounting. Answer: true: cost management provides information that helps increase value for customers, all strategies should be evaluated regarding the resources and capabilities of the.