Since internal users have access to all the underlying data used for managerial accounting reports,
A)they can create reports that suit their particular decision-making needs.
B)there is no need to use financial data in making decisions.
C)they can easily incorporate it into financial statements and provide to external users.
D)they should provide it to potential investors when requested.

Question

Quizplus · Accepted Answer

Since internal users have access to all the underlying data, they can create reports that suit their particular decision-making needs. This helps them to make informed decisions that are tailored to their specific areas of responsibility. However, there is still a need to use financial data in making decisions, as this provides a broader perspective on the overall financial health of the organization. Internal users do not need to incorporate managerial accounting data into financial statements or provide it to external users unless it is required by law or regulation.

Since Internal Users Have Access to All the Underlying Data