Explanation

Operating costs include necessary expenses like rent, utilities, payroll, and supplies.

Explanation

Standard cost accounting can be a highly beneficial tool for managers who are attempting to plan a more accurate budget.

Both budgetary control and standard costing are forward-looking and predetermined techniques of costing

Explanation

Any business's long-term objective is wealth maximisation.

In comparison, profit maximisation is a short-term objective.

Maximising profits guarantees the company's growth and longevity.

Wealth maximisation, in contrast, concentrates on a company's long-term rate of growth by growing its market share.

Explanation

Process costing is not the tool of management accounting.

Process costing is the most common cost accounting method applied within manufacturing companies.

Explanation

The matching principle of accounting principles requires businesses to record depreciation.

 The matching principle states that the expense should be matched with the income generated during the period

Explanation

The journal, ledger are all related to financial accounting.

Management accounting is generally concerned with maintaining the risk and decisions.

Explanation

The account format that displays debits credits balances and headings is called T-account.

A T-account is a way to format accounting transactions that displays debits on the left and credits on the right.

Explanation

Audit Risk is the combination of the following 3 risks:

1. Control Risk

2. Detection Risk

3. Inherent Risk

Explanation

Retained earnings are a type of equity and are therefore reported in the shareholders' equity section of the balance sheet.

Explanation

The accrual basis of accounting records revenues when they are earned.

 In other words, under the accrual basis of accounting, the receipt of cash and the payment of cash are not the focus of reporting revenues and expenses.