Both financial and management accounting:
A) draw on data from the organisation's basic information system.
B) provide information for external users.
C) must comply with Australian accounting standards.
D) rely exclusively on historical data.

Question

Quizplus · Accepted Answer

Both financial and management accounting draw on data from the organisation's basic information system. Financial accounting uses this data to prepare financial statements for external users, while management accounting uses it to provide information for internal planning and decision-making. Both types of accounting must comply with Australian accounting standards, but they may also incorporate projections and other forward-looking information in addition to historical data.

Both Financial and Management Accounting