Which of the following statement is true?
Statement 1: Financial statements are prepared on the basis of accounting principles.
Statement 2: Any changes in accounting principles or method will affect the utility of the financial statements.

Basic objective of cost accounting is ________

A. tax compliance.

B. financial audit.

C. cost ascertainment.

D. profit analysis.

Process costing is suitable for ________.

A. hospitals

B. oil refing firms

C. transport firms

D. brick laying firms

Cost classification can be done in ________.

A. two ways

B. three ways

C. four ways

D. several ways

The cost which is to be incurred even when a business unit is closed is a _____.

A. imputed cost

B. historical cost

C. sunk cost

D. shutdown cost