Which of the following statements about managerial accounting is CORRECT?
A) Managerial accounting reports are audited annually by an independent CPA.
B) Managerial accounting reports help investors make decisions.
C) Managerial accounting reports must follow accounting standards.
D) Managerial accounting reports provide detailed information on parts of a company.

Question

Quizplus · Accepted Answer

Managerial accounting reports are used internally by managers and provide detailed information on specific parts of a company, such as divisions or product lines. Unlike financial accounting reports, they are not subject to external audits or accounting standards. They are used to help managers make informed decisions about planning, controlling, and monitoring business operations.

Which of the Following Statements About Managerial Accounting Is CORRECT