An Accounting System That Provides Information That Management Can Use

question 169

Multiple Choice

An accounting system that provides information that management can use to evaluate the profitability and/or cost effectiveness of a department's activities is a:

• A) Departmental accounting system.
• B) Cost accounting system.
• C) Service accounting system.
• D) Revenue accounting system.
• E) Standard accounting system.

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Definitions:

Managers

Individuals responsible for planning, directing, and overseeing the operations and fiscal health of a business unit or department.

Balanced Scorecard

A management and planning system designed to align an organization’s activities with its vision and strategy, enhance communication within and outside the organization, and track the organization's performance in comparison to its strategic objectives.

Performance Measure

Metrics or indicators used to assess and quantify the efficiency, effectiveness, and performance of an organization or individual.

Improvement

The process of making something better or increasing its value, often referring to property or performance enhancements.