Accounting for IGCSE & O level - Final Statements (Section 8 - No. 35)
How can the analysis of departmental accounts benefit a business?
It helps in understanding the profitability of each department.
It facilitates an assessment of the overall sales of the business.
It provides a method for making better decisions.
It simplifies tax calculations for the business.
Explication
It identifies both strengths and weaknesses, and informs managerial decisions.