Final answer:
The true statement regarding the financial accounting information system is that it is primarily concerned with producing outputs such as the balance sheet and income statement for external users, focusing on providing standardized information that meets external reporting requirements.
Step-by-step explanation:
The financial accounting information system is primarily concerned with producing outputs such as the balance sheet and income statement for external users. This system is essential for financial transparency and accountability, helping to provide stakeholders, such as investors, creditors, and regulatory agencies, with a clear picture of a company's financial health. By focusing on external reporting requirements, the financial accounting system adheres to generally accepted accounting principles (GAAP) or International Financial Reporting Standards (IFRS), ensuring that financial statements are standardized and comparable across different organizations.
Unlike managerial accounting which is designed to assign costs to individual products and services for internal management purposes, or that provides accurate and timely feedback for planning and control of cost activities, financial accounting serves external users by providing a historical record of financial transactions over a period of time, summarized in the end-product financial statements.