Question

Cost accounting provides data for managerial _____________.

• A. Decision making
• B. Recruitment
• C. Retrenchment
• D. None of the above

Answer 1

The correct option is A Decision making

Financial accounting provides the data to prepare the financial statement which is based on historical cost. Cost accounting provides different techniques or methods to present the data about the cost of each product. This information is used in managerial decision making. Whether a product line to be continued or shut down, this decision can be taken only on the basis cost data.