For a business that has implemented lean manufacturing processes, the adoption of lean accounting is primarily intended:
A) To more accurately report the financial performance of the company.
B) To satisfy generally accepted accounting principles (GAAP).
C) To enhance internal controls.
D) To improve overhead allocations.

Question

Quizplus · Accepted Answer

Lean accounting is primarily intended to more accurately report the financial performance of a company by aligning accounting practices with the lean manufacturing processes. This approach focuses on reducing waste and improving efficiency, which in turn provides a more accurate picture of financial performance.

For a Business That Has Implemented Lean Manufacturing Processes, the Adoption