Cost Accounting Essentials Quiz

To manage human resources

To track and control the cost of production (correct)

To maximize sales revenue

To conduct market research

Increases shareholder dividends

Expedites product development

Facilitates informed decision making (correct)

Reduces employee turnover

Improves accuracy of financial forecasts

Enhances employee job satisfaction

Reduces the need for financial analysis

May lead to overemphasis on short-term goals (correct)

<p>Cost Accounting = Recording, analyzing, and reporting costs related to production processes Advantages of Cost Accounting = Enhanced decision-making, cost control, and performance evaluation Limitations of Cost Accounting = May lead to inaccurate cost allocation, high implementation costs, and complexity Meaning of Cost Accounting = Recording, analyzing, and reporting costs related to production processes</p> Signup and view all the answers

<p>Enhanced decision-making = Allows management to make informed decisions based on accurate cost data Cost control = Helps in monitoring and regulating costs to ensure efficient resource utilization Performance evaluation = Assessment of efficiency and effectiveness in utilizing resources and achieving goals Advantages of Cost Accounting = Enhanced decision-making, cost control, and performance evaluation</p> Signup and view all the answers

<p>Inaccurate cost allocation = Assigning costs to products or services in a way that does not reflect actual usage High implementation costs = Significant expenses associated with setting up and maintaining cost accounting systems Complexity = Difficulty in understanding and managing the intricate cost accounting methods and data Limitations of Cost Accounting = May lead to inaccurate cost allocation, high implementation costs, and complexity</p> Signup and view all the answers