The correct answer is: A. historical costing system.
A historical costing system is a system of accounting that records costs incurred in the past. It is based on the actual costs of materials, labor, and overhead incurred to produce goods or services. Historical costing systems are often used for financial reporting purposes, as they provide a clear and accurate picture of the costs incurred during a particular period. However, historical costing systems have several limitations. First, they are not very useful for planning and control purposes, as they do not provide information about future costs. Second, they can be inaccurate, as they are based on actual costs, which can be subject to error. Third, they can be time-consuming and expensive to maintain.
Standard costing systems are a type of costing system that uses predetermined costs to estimate the costs of goods or services. Standard costs are set in advance, based on expected levels of activity and efficiency. Standard costing systems are often used for planning and control purposes, as they provide information about the costs that should be incurred. Standard costing systems can also be used to identify variances, which are the differences between actual and standard costs. Variances can be analyzed to identify areas where costs are out of control.
The limitations of historical costing systems have led to the development of standard costing systems. Standard costing systems provide more accurate and timely information than historical costing systems, and they can be used for planning and control purposes.
Option B, cost accounting, is a broad term that refers to the process of identifying, measuring, and assigning costs to products, services, or activities. Cost accounting can be used for a variety of purposes, including financial reporting, planning, and control.
Option C, management accounting, is a subset of cost accounting that focuses on providing information to managers to help them make decisions. Management accounting information is used for planning, control, and decision-making.
Option D, None of these, is incorrect. The limitations of historical costing systems have led to the development of standard costing systems.