Which of the Following Statements Best Defines Lean Accounting

question 95

Multiple Choice

Which of the following statements best defines lean accounting?

• A) an accounting system that comprises a single database that collects data and feeds it into software applications supporting all of a company's business activities
• B) a costing method that supports creating value for the customer by costing the entire value stream thereby eliminating waste in the accounting process
• C) an accounting system that omits recording some of the journal entries relating to the stages from the purchase of direct materials to the sale of finished goods
• D) an integrated costing system covering a company's accounting, distribution, manufacturing, purchasing, human resources, and other functions

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Definitions:

Contract

A legally binding agreement between parties that outlines the terms and conditions under which a transaction or exchange is to take place.

Means-Tested Programs

Government programs and assistance available only to individuals or families whose income and assets fall below specified thresholds.

Consumption Tax

A tax on the purchase of goods and services, levied at the point of consumption.

High Income

Refers to earnings that significantly exceed the average or median income level within a specific region, industry, or demographic segment.