Financial accounting provides the primary source of information for:

INTRODUCTION TO COST ACCOUNTING

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Question [CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]

A	decision making in the finishing department
B	improving customer service
C	preparing the income statement for shareholders
D	planning next year’s operating budget

Explanation:

Detailed explanation-1: -The adjusted trial balance is the primary source of information needed to prepare the financial statements.

Detailed explanation-2: -Financial accounting produces information that is used by external parties, such as shareholders and lenders. Managerial accounting produces information that is used within an organization, by managers and employees.

Detailed explanation-3: -The balance sheet is a financial statement that provides a snapshot of the assets, liabilities, and shareholders’ equity. Many companies use the shareholders’ equity as a separate financial statement. But usually, it comes with the balance sheet.

Detailed explanation-4: -Financial statements are important to investors because they can provide enormous information about a company’s revenue, expenses, profitability, debt load, and the ability to meet its short-term and long-term financial obligations.

There is 1 question to complete.