Managerial vs Financial Accounting Quiz

What is the primary focus of financial accounting?

• Providing internal decision-making support

• Preparing financial reports for external parties

• Setting budgets and forecasts

• Analyzing cost-volume-profit relationships

Who primarily uses the information provided by financial accounting?

• Employees

• Suppliers

• Internal managers

• External stakeholders like investors

Which tool is commonly used in managerial accounting for decision-making?

• Income statement

• Balance sheet

• Cost-volume-profit analysis

• Cash flow statement

What is the time focus of financial accounting?

• Predictive

• Historical

• Present

• Future-oriented

How does managerial accounting differ in terms of compliance compared to financial accounting?

• It is more flexible and adaptable

• It is more rigid

• It follows strict regulatory standards

• It is less important