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Cost Accounting Characteristics

In your own words based on experience, what are some key characteristics that help make cost accounting data beneficial to an organization's managers/decision makers?

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Cost Accounting Data
As I understand it, cost accounting data is made to provide managers information to make sound financial choices.

In your own words based on experience, what are some key characteristics that help make cost accounting data beneficial to an organization's managers/decision makers?

Cost accounting is a field of accounting that provides economic and financial information for managers and other internal users.

Key Characteristics

1) Internal to the organization

It helps in studying the relations between:

* fixed costs;
* Variable costs; and
* Profits.

For example Break-even analysis is one of the tools of the managerial accounting, a device for determining the point at which sales will just cover total costs.
It is used to make decisions concerning rates, prices, effect on ...

Solution Summary

The solution discusses the key characteristics for cost accounting decisions.

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