For Each of the Following,indicate Whether the Statement Relates to Managerial

question 82

Essay

For each of the following,indicate whether the statement relates to managerial accounting (MA)or financial accounting (FA):
$$\begin{array} { | l | l | } \hline \textbf { Statement } & \begin{array} { c } \textbf { Applies to } \\\textbf { MA or FA }\end{array} \\\hline \begin{array} { l } \text { How reports will affect employee behavior is a } \\\text { concern. }\end{array} & \\\hline \text { Summary reports are prepared primarily on the } \\\text { company as a whole, usually on a quarterly or annual } \\\text { basis. } & \\\hline \text { Relevant information and focus on the future. } & \\\hline \text { Primary users include investors, creditors, and } & \\\text { government authorities. } & \\\hline \text { There is no requirement to follow GAAP. } & \\\hline\end{array}$$

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Definitions:

Certain Income

Income that is guaranteed or known, without any risk of fluctuation or loss.

Uncertain Income

Income that is not guaranteed and can vary significantly from period to period, often depending on factors like market demand or job security.

Marginal Utility

The bonus utility or pleasure experienced by someone when consuming another unit of a given good or service.

Risk-averse

A description of an individual's or entity's preference for avoiding loss over making a gain.