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Question - Managerial accounting uses accounting and financial information for decision making.
Have you previously studied break-even analysis in an economics course? What does break even analysis indicate to managers? How can managers use break even analysis for decision making? Can this be used for pricing decisions? What types of managerial decisions are supported by break even analysis?
Additionally, here are some topics to consider:
What is the difference between financial accounting and managerial accounting? Who are the intended users?
How does viewing costs from different perspectives (product versus period; variable versus fixed) help in managerial decision making?
Discuss the differences between product and period costing systems.
When do costs of producing a product become an expense, impacting profits?
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