asked 78.1k views
2 votes
Reports scrutinized by managerial accountants do not include which of the following?

1) Those focused on business subunits
2) Non-financial data relevant to business decision making
3) Highly aggregated data
4) Special-purpose for specific decisions

1 Answer

4 votes

Final answer:

Managerial accountants use a variety of reports that include financial data on business subunits, non-financial data, aggregated data, and details for specific decisions to assess the health of a business. Once a firm establishes a strategy likely to yield profits, this information becomes vital for outside investors providing financial capital.

Step-by-step explanation:

Reports scrutinized by managerial accountants typically include a variety of information crucial for business decision-making. These reports often contain data on business subunits, relevant non-financial data, highly aggregated data, and information tailored for special-purpose decisions. As a firm grows and its strategy starts showing potential for future profits, managerial accountants and outside investors rely less on personal relationships with individual managers and more on the financial data available about the company's performance, such as information about products, revenues, costs, and profits. The availability of this information provides a basis for bondholders and shareholders, who may not have personal relationships with company managers, to offer financial capital to the firm.

answered
User Hendrik Jander
by
8.4k points
Welcome to Qamnty — a place to ask, share, and grow together. Join our community and get real answers from real people.