Which of the following is not a purpose for preparing departmental accounts? To
Answer Details
The purpose of preparing departmental accounts is to provide information about the financial performance of each department in an organization. This information is used to compare the results of different departments, reward departmental managers, and obtain information for formulating policies.
However, employing staff into different departments is not a purpose for preparing departmental accounts. Departmental accounts provide information about the financial performance of each department and are used for making management decisions. The process of hiring staff into different departments is a separate human resources function that is not directly related to accounting.