Where economic and non economic activities are records for our business calculation.

Question

Accepted Answer

Economic activities are recorded in financial statements while non-economic activities are recorded in management reports.

Economic activities are those that involve monetary transactions such as sales, purchases, and investments.
Non-economic activities are those that do not involve monetary transactions such as employee training, research and development, and community service.
Financial statements record economic activities while management reports record non-economic activities.
Examples of financial statements include balance sheets, income statements, and cash flow statements.
Examples of management reports include performance reports, budget reports, and project reports.

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