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True or False ? The textbook offers \'accounting\' as a sort of transformation p

ID: 2544294 • Letter: T

Question

True or False ?

The textbook offers 'accounting' as a sort of transformation process that converts daily records of individual transactions into monthly financial reports. Thus, suggesting that while 'accounting' is not a manufacturing process, it does add value by yielding reports that become 'outputs' that simulate the transformation process seen in the traditional thinking of transforming inputs into outputs; thus, accounting is a value creation activity. Consequently, Best Buy (the chain of retail stores) is in the service industry and creates value for its targeted consumers.

Explanation / Answer

False.

Best buy is creating value for customers by offering solutions based on their understanding of customers. Its front shop employees work as personal assistants of buyer buying the products.

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