Accounting Information Serves a Management Function When It Is Used

question 101

Multiple Choice

Accounting information serves a management function when it is used by:

• A)executives to make a business decision.
• B)government officials to regulate the business and its financial records.
• C)labor unions to negotiate contracts with the business.
• D)investors to vote on company policies.

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Definitions:

Record Keeping

The process of maintaining accurate and systematic records of an organization's financial transactions and other significant events.

Timeliness

The quality of being done within a desirable time frame or deadline, often crucial for decision-making or reporting.

Purchases Journal

A record of all credit purchases made by a business, used to track and manage inventory acquisition.

Beverage Supplies

Items and ingredients used in the preparation and sale of drinks, often accounted for in businesses that serve food and drink.