For management accounting, internal measurement and reporting are based on cost-benefit analysis.

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Management accounting focuses on providing information to internal stakeholders, such as managers, to assist in decision-making. Cost-benefit analysis is a key tool used in management accounting to evaluate alternative courses of action or investments. Therefore, internal measurement and reporting in management accounting are often based on cost-benefit analysis to ensure that the benefits of an investment or decision outweigh the costs.

For Management Accounting, Internal Measurement and Reporting Are Based on Cost-Benefit