Final answer:
The assertion that managers' activities can be classified into cost accounting, budgeting, and internal control is true. These crucial managerial functions are essential for the efficiency, accountability, and success of any business operation, from restaurants to large factories.
Step-by-step explanation:
The statement that managers' activities and responsibilities can be classified into three broad functions: cost accounting, budgeting, and internal control is True. These functions are pivotal to efficient business operations.
Cost accounting involves tracking, recording, and analyzing costs associated with the products or services a company provides. Budgeting refers to the process of creating a plan to spend your money, which allows the anticipation of profits and losses, as well as the ability to dedicate resources to projects that will advance the business. Internal control consists of the procedures and measures a business puts in place to safeguard assets, ensure accurate and reliable financial reporting, promote accountability, and prevent fraud.
These managerial functions ensure that a business can operate effectively and meet its financial objectives. Managers are held accountable for the outcomes of these functions and must ensure efficiency and compliance within their areas of responsibility.