Which of the following is the principle reason for preparing managerial accounting reports?
A) usefulness to management
B) cost of preparation
C) clarity
D) GAAP

Question

Quizplus · Accepted Answer

Managerial accounting reports are prepared primarily to provide useful information to the management of a company. The reports provide internal data that can be used to make better business decisions regarding operations, such as monitoring performance, controlling costs, and improving efficiency. Cost of preparation, clarity, and adherence to GAAP (Generally Accepted Accounting Principles) are important considerations, but they are not the primary reason for preparing managerial accounting reports.

Which of the Following Is the Principle Reason for Preparing