Which of the following best represents a characteristic of managerial accounting?
A) Information is historically based and reported annually.
B) Information is based on estimates and is bounded by relevance and timeliness.
C) Information is regulated by the Securities and Exchange Commission.
D) Information is characterized by reliability and objectivity.

Question

Quizplus · Accepted Answer

Managerial accounting is focused on providing timely and relevant information to assist management in decision making. Unlike financial accounting, which is historically based and reported annually, managerial accounting relies on estimates and is not bound by regulatory requirements. The information provided must be reliable and objective, but also flexible enough to adapt to changes in the business environment.

Which of the Following Best Represents a Characteristic of Managerial