Week 1

Question 1

Accounting definition

Answer 1

science of measuring, reporting and controlling performance

Question 2

Cost accounting

Answer 2

Part of management accounting. How to manage costs and how to allocate to different products.

Question 3

Management accounting roles

Answer 3

Decision-facilitating - information improves decisions
Decision-influencing - shaping behavior, motivate employees
Coordination-facilitatin - coordinate decisions across units (sales lets productions know how many units to make)

Question 4

Cost object meaning

Answer 4

Thing that accumulates cost

Question 5

Variable cost

Answer 5

Increases the total cost the more product you make (5eur per belt)