Question

Comparing actual performance to previously budgeted amounts is part of the: Multiple Choice

A. controlling function of managerial accounting.
B. planning function of managerial accounting.
C. reporting function of managerial accounting.
D. organizing function of managerial accounting.

Answer 1

Answer:

A. Controlling function of managerial accounting.

Explanation:

In controlling function we compare the budgeted values with actual values and calculate any variances occurred. This function enable us to determine the Weakness and strengths of the business. This also shows that what are the area where management should improve their performance to meet the budgeted and actual values.