1. What does it mean to state that the accounting process should support decisions and informed judgments?

Answer 1

It is talking about the design and use of the company's accounting system.
This system should be designed so that it provides all the necessary management information to help decision making.
Sales should be analysed so that meaningful information can be gained about which customers are buying which products.
Purchases should be analysed so that departmental costs and profit/loss are available,, etc

Answer 2

Simply put, "Do the numbers support the action?"

Accounting has been known as the language of business because many interested parties use the results of the accounting process to make decisions and informed judgments about the economic activities of an organization.
An organization’s management accounting information system must support its decision makers. Of critical importance to this objective is the ability to distinguish costs that are relevant to the decision at hand from those costs that are irrelevant and therefore should not be considered.

Answer 3

It means not to take risky investments,or spend money that was not spent in previous cycles to maintain a sound foundation for investors.