Please answer each of the following questions in detail. Provide in-text citations and include
examples. Use the book as reference too.
1. Explain the difference between public accounting and managerial accounting. Provide a
hypothetical example of an income statement for public reporting. Provide a hypothetical
example of managerial accounting income statement in process costing format. Explain your
examples in detail.
2. Explain operating cost classifications in managerial accounting, namely, manufacturing vs.
selling/admin, variable vs. fixed, direct vs. indirect, and variable overhead vs. fixed overhead.
Include examples for all.
3. Explain the predetermined variable overhead criterion and include an example.