Which of the following statements is correct?
A) The primary objective of a firm's management is to increase the firm's value.
B) The management accounting system needs to accumulate information from both internal and external sources.
C) Managers may be faced with a conflict between increasing customer value and increasing shareholder value.
D) All the given statements are correct.

Question

Quizplus · Accepted Answer

All the statements provided are correct. A) The primary objective of a firm's management is indeed to increase the firm's value, focusing on maximizing shareholder wealth. B) Management accounting systems do accumulate information from both internal and external sources to provide comprehensive insights for decision-making. C) Managers often face conflicts between increasing customer value and increasing shareholder value, as actions to enhance one can sometimes detract from the other, requiring a balance to be struck.

Which of the Following Statements Is Correct