Question

Indicate whether each of the following items is representative of managerial or of financial accounting:

1. Information is factual and is characterized by objectivity, reliability, consistency, and accuracy.
2. Information is reported continuously and has a current or future orientation.
3. Information is provided to outsiders, including investors, creditors, government agencies, analysts, and reporters.
4. Information is regulated by the SEC, FASB, and other sources of GAAP.
5. Information is based on estimates that are bounded by relevance and timeliness.
6. Information is historically based and usually reported annually.
7. Information is local and pertains to subunits of the organization.
8. Information includes economic and nonfinancial data as well as financial data.
9. Information is global and pertains to the company as a whole.
10. Information is provided to insiders, including executives, managers, and employees.

Answer 1

1. Information is factual and is characterized by objectivity, reliability, consistency, and accuracy. - Financial Accounting
2. Information is reported continuously and has a current or future orientation. - Managerial Accounting
3. Information is provided to outsiders, including investors, creditors, government agencies, analysts, and reporters. - Financial Accounting
4. Information is regulated by the SEC, FASB, and other sources of GAAP. - Financial Accounting
5. Information is based on estimates that are bounded by relevance and timeliness. - Managerial Accounting
6. Information is historically based and usually reported annually. - Financial Accounting
7. Information is local and pertains to subunits of the organization. - Managerial Accounting
8. Information includes economic and nonfinancial data as well as financial data. - Managerial Accounting
9. Information is global and pertains to the company as a whole. - Financial Accounting
10. Information is provided to insiders, including executives, managers, and employees. - Managerial Accounting