Motherson Sumi, an auto components manufacturing company is presently having a sound system of financial accounting. The management of the company, therefore, feels that there is no need for the installation of a cost accounting system. Prepare a report for the management to justify the need for the introduction of a sound cost accounting system highlighting the main points of difference between financial accounting and cost accounting. Also discuss briefly the practical difficulties it may face in the installation of a costing system.
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