Plans that identify costs and expenses under each manager's control prior to the reporting period,typically based on the flexible budget approach,are called:
A)Cost accounting systems.
B)Managerial accounting systems.
C)Responsibility accounting systems.
D)Responsibility accounting budgets.
E)Activity-based accounting systems.

Question

Quizplus · Accepted Answer

Responsibility accounting budgets are plans that identify costs and expenses under each manager's control for a specific reporting period, based on the flexible budget approach. This allows managers to be held accountable for their performance in managing costs within their area of responsibility.

Plans That Identify Costs and Expenses Under Each Manager's Control