While financial accountants prepare financial statements to help users both inside and outside of the organization,managerial accountants prepare reports for internal users only.

Question

Quizplus · Accepted Answer

Managerial accounting focuses on providing information for internal decision-making within the organization, such as performance evaluation and budgeting, while financial accounting aims at providing information through financial statements to external users like investors, creditors, and regulatory agencies.

While Financial Accountants Prepare Financial Statements to Help Users Both