Which of the following statements represents a similarity between financial and managerial accounting?
A) Both are useful in providing information for external users.
B) Both are governed by GAAP.
C) Both draw upon data from an organization's accounting system.
D) Both rely heavily on published financial statements.
E) Both are solely concerned with historical transactions.

Question

Quizplus · Accepted Answer

Both financial and managerial accounting draw upon data from an organization's accounting system to generate reports and insights. Financial accounting focuses on providing information to external users through standardized financial statements, while managerial accounting provides detailed reports and analysis for internal management to aid in decision-making.

Which of the Following Statements Represents a Similarity Between Financial