A major purpose of cost accounting is to :

a. classify all costs as operating or nonoperating.

b. measure, record, and report product costs.

c. measure, record, and report period costs.

d. provide information to stockholders for investment decisions.

b. measure, record, and report product costs.

Explanation: A major purpose of cost accounting is to measure, record, and report product costs. As such cost accounting is a method of accounting that involves the measuring, recording, and reporting of product costs incurred by a business in a way that can be used to improve its management as it helps management in making strategic, fully informed business decisions. It is done for the purpose of budget preparation and profitability analysis where important decisions on which costs are actually contributing to the profit-making aspect of the business and which are not are made by management.

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