Inventory Accounting Question:

Answer #1
Yes, the accounting calculates the cost of capital to the business. It compares the current, expected, and historic rates of return. Suppose a company is making 12% returns but borrowing money by using the owner's credit card at 22% be good to know that.

Answer #2
Financial Accounting helps in taking financial decisions such as investment, circulation of monies, banking etc due to the information or statements it provides at the end of the period.