Which of the following is the best reason why cost accounting information does not need to be comparable to similar information in other organizations?
A) Because it is only used by investors and creditors.
B) Because no publicly traded companies use cost accounting.
C) Because IFRS and cost accounting are converging which eliminates the need for comparability.
D) Because managers that use this information are making decisions only for their organization.

Question

Quizplus · Accepted Answer

Cost accounting is primarily used internally by managers to make decisions specific to their organization, so comparability with other organizations is not necessary.

Which of the Following Is the Best Reason Why Cost