In Order to Be Useful to Managers, Managerial Accounting Reports

question 88

Multiple Choice

In order to be useful to managers, managerial accounting reports should possess all of the following characteristics except

• A) provide objective measures of past operations and subjective estimates about future decisions
• B) be prepared in accordance with generally accepted accounting principles
• C) be provided at any time management needs information
• D) be prepared to report information for any unit of the business to support decision making

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Definitions:

Frontal

Relating to the frontal lobe of the brain, which is responsible for important cognitive skills, such as emotional expression, problem-solving, memory, and judgment.

Relative Size

A perceptual cue which allows the brain to understand the size of an object in relation to another through the visual information received.

Depth Cue

A visual or auditory signal which provides information on the distance of objects, helping in the perception of three-dimensional space.

Eardrum

A thin membrane that marks the beginning of the middle ear; sound waves cause the eardrum to vibrate.