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Question
Why are accountants concerned about product life cycles? Question content area bottom Part 1
1. Accountants are only interested in the actual results? (sales, expenses, etc.). Therefore, they are only interested in two stages of the product's life cycleintroduction into the market and maturation of the market.
2. Information that is relevant for decisions about a product depends on the product's life-cycle stage.? Therefore, to prepare and interpret information, accountants should be aware of the current stage of a product's life cycle.
3. The product life cycle does not impact how accountants does their job.
4. Information received from the mature market stage of the product's life cycle is the only stage that interests an accountant. This stage helps the accountant to prepare more accurate budgets.
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