Managerial accounting information pertains to the entity as a whole and is highly aggregated. pertains to subunits of the entity and may be very detailed. is prepared only once a year. is constrained by the requirements of generally accepted accounting principles.

Why are externally presented reports required to be prepared according to generally accepted accounting principles while internally presented managerial accounting reports are not?

Both financial and managerial accounting rely exclusively on GAAP for reporting. True False

Choose whether the following characteristics are most often associated with managerial accounting or financial accounting. Managerial Accounting Financial Accounting Primarily used for internal decision making Generally Accepted Accounting Principles (GAAP) must be used Prepared statements usually pertain to the company as a whole rather than individual departments or products Information provided will often be subjective, such as estimated future results Often prepared on an as-needed basis rather than at fixed intervals Use principles of the Sustainability Accounting Standards Board (SASB) to provide sustainability, information to external financial statement users Consideration of sustainability practices to contribute to the company's long-term success Using eco-efficiency measures to reduce expenses OOOO