Which of the following descriptors refers to management accounting information?
A)It is verifiable and reliable.
B)It is driven by rules.
C)It is prepared for shareholders.
D)It provides reasonable and timely estimates.

Question

Quizplus · Accepted Answer

Management accounting information is focused on providing reasonable and timely estimates to help managers make informed decisions. Option A refers to the reliability of financial accounting information, option B refers to the prescriptive nature of regulatory accounting standards, and option C refers to the focus on external stakeholders such as shareholders which is a characteristic of financial accounting.

Which of the Following Descriptors Refers to Management Accounting Information