Which of the Following Statements About Cost Accounting Systems Is

question 10

Multiple Choice

Which of the following statements about cost accounting systems is FALSE?

• A) The cost accounting system provides the cost data that managers use for decision making.
• B) The cost accounting system is the most fundamental component of a cost management system.
• C) A cost accounting system that provides accurate information is a key success factor for all types of organizations.
• D) Some types of organizations do not need cost accounting systems.

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Definitions:

Par Value

The face value of a bond or stock, typically the amount paid at maturity for bonds and the nominal value for stocks.

Government Bonds

Debt securities issued by a government to support government spending and obligations.

General Level

Typically refers to the overall state or condition of something, often used in discussions about prices, economic conditions, or the level of activity in a market.

Convertibles

Securities, usually bonds or preferred shares, that can be converted into a specific number of shares of the issuing company's common stock.