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Question 79 - C_TS410_2022 discussion

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What tasks are performed for external reporting purposes? Note: There are 2 correct answers to this question

A.

Manage accounts receivables

Answers
A.

Manage accounts receivables

B.

Calculate production vanances

Answers
B.

Calculate production vanances

C.

Create a profit and loss statement

Answers
C.

Create a profit and loss statement

D.

Create cost center plan/actual statements

Answers
D.

Create cost center plan/actual statements

Suggested answer: A, C

Explanation:

For external reporting purposes, the following tasks are performed:

Manage accounts receivables (A): This involves recording and tracking amounts due from customers for goods or services sold, an essential part of financial reporting to external stakeholders.

Create a profit and loss statement (C): This financial statement summarizes the revenues, costs, and expenses incurred during a specific period, providing a clear view of the company's financial performance to external entities such as investors, regulators, and analysts.

Calculate production variances (B) is more related to internal management accounting and controlling, aimed at analyzing the efficiency and effectiveness of production processes.

Create cost center plan/actual statements (D) is also an internal controlling activity, focusing on monitoring and managing the performance of different organizational units rather than external reporting.

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asked 31/10/2024
Akash Patel
40 questions
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