Using cost analysis to analyze the money being spent by a firm is analogous to using ____________ to analyze the money coming into the firm.
A) sales analysis
B) traditional accounting reports
C) performance analysis
D) the iceberg principle
E) TQM methods

Question

Quizplus · Accepted Answer

Sales analysis is used to analyze the money coming into the firm, as opposed to cost analysis which analyzes the money being spent by the firm. Sales analysis involves examining sales revenue, volume, trends, and profitability by product, customer, region, or other factors. This can provide insights into areas where the firm is performing well, as well as areas for improvement or potential cost savings.

Using Cost Analysis to Analyze the Money Being Spent by a Firm