Throughout this test, write your answer on the form provided. Erasure marks may cause the grading machine to mark your answer wrong. INSTRUCTIONS: The following selections relate to distinguishing arguments from nonarguments and identifying conclusions. Select the best answer for each. A distinction is often made between management accounting and financial accounting. Management accounting
focuses on internal reporting. It measures and reports financial and nonfinancial information that helps managers make decisions to fulfill the goals of an organization. Financial accounting focuses on reporting to external parties. It measures and records business transactions and provides financial statements issued to investors, government regulators, and other interested parties. Charles T. Horngren, Cost Accounting, A Managerial Emphasis, 13th ed.
A) Nonargument.
B) Argument; conclusion: Management accounting focuses on internal reporting.
C) Argument; conclusion: A distinction is often made ... financial accounting.
D) Argument; conclusion: It measures and records business transactions ... parties.
E) Argument; conclusion: Financial accounting focuses on ... external parties.
A
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What will be an ideal response?
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