FUTURE Modest value-add High value-add accounting, financial accounting is about valuation, and management accounting is about value creation through good decision making. The three management accounting subcomponents in Figure 4 are recipients of inputs from the "cost measure- ment" procedure of transforming incurred expenses (or their obligations) into calculated costs: Cost accounting represents the assignment of expenses into outputs, such as the cost of goods sold and s, the value of inventories. This box primarily provides external reporting to comply with regulatory agencies. Cost reporting and analysis represents the in- sights, inferences, and analysis of what has already taken place in the business in order to track performance. Decision support with cost planning involves decision making. It also represents using the historical cost reporting information in combination with other economic information, including forecasts and planned changes (such as processes, products, services, channels), in order to make the types of decisions that lead to a December 2013 I STRATEGIC FINANCE