Podcast
Questions and Answers
What do managers use cost accounting information for?
What do managers use cost accounting information for?
- Make decisions about research and development, production planning, budgeting, pricing, and the products or services to offer customers (correct)
- Calculate and manage the cost of products
- Monitor the marketplace to determine the prices customers are willing to pay
- Understand how revenues and costs behave
What helps managers calculate a target cost for a product?
What helps managers calculate a target cost for a product?
- Monitoring the marketplace for customer price preferences
- Management accounting information (correct)
- Continuous pressure to reduce the cost of products
- Understanding activities that cause costs to arise
What do companies face continuous pressure to reduce?
What do companies face continuous pressure to reduce?
- The cost of the products they sell (correct)
- The number of products they sell
- The quality of the products they sell
- The marketing expenses for their products
What is used to calculate and manage the cost of products?
What is used to calculate and manage the cost of products?
What do customers want companies to use to deliver ever-improving levels of performance?
What do customers want companies to use to deliver ever-improving levels of performance?
Managers use cost accounting information to make decisions about human resources and marketing.
Managers use cost accounting information to make decisions about human resources and marketing.
Cost accounting is only important for large companies, not small businesses.
Cost accounting is only important for large companies, not small businesses.
The value chain and supply chain are not important factors for companies to consider in delivering performance.
The value chain and supply chain are not important factors for companies to consider in delivering performance.
Managers must understand the activities that cause costs to arise in order to calculate and manage the cost of products.
Managers must understand the activities that cause costs to arise in order to calculate and manage the cost of products.
Cost and efficiency are not key factors that customers want companies to focus on.
Cost and efficiency are not key factors that customers want companies to focus on.
