The role of cost accounting in controlling costs and activities can be found in the following efforts .....

INTRODUCTION TO COST ACCOUNTING

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

The role of cost accounting in controlling costs and activities can be found in the following efforts ____

A	Make a quantified and written statement of the management plan
B	Identify non-value-added activities and reduce those activities
C	Set the selling price
D	Make business decisions such as leasing or buying equipment.

Explanation:

Detailed explanation-1: -Controlling costs: Cost accounting helps the management foresee the cost price and selling price of a product or a service, which helps them formulate business policies. With cost value as a reference, the management can come up with techniques to control costs with an aim to achieve maximum profitability.

Detailed explanation-2: -Types of cost accounting include standard costing, activity-based costing, lean accounting, and marginal costing.

Detailed explanation-3: -Cost accounting helps you to identify cost-effective solutions, informs decision-making, and facilitates cost benefit analysis.

Detailed explanation-4: -Cost accounting can be used to identify inefficiencies and apply the necessary improvements needed to control costs. These controls can include budgetary controls, standard costing, and inventory management.

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