Explain the meaning of Management Accounting. State how Management Accounting is useful for managers.

Expert Solution

Meaning of Management Accounting: Management accounting is a tool or system which assist managers in better planning, controlling and analysis of organizational goals. Management accounting is more concerned with focussing on specific areas, fixation of responsibility, analysis of Variance- between budgeted and actual achievement & most importantly identifying improvement areas.

Uses of management accounting for managers:

- Availability of quick information which fulfills the exact requirement and helps saving time of top management.

- As explained above, management accounting works as tool for managers for identifying weak or improvement areas in organization which requires more emphasis/focus.

- Management can take helps of management reports for formulation of policies which can possible improve performance standards.

- Also helps in budget formation, deviation analysis, reasons of Variance- and taking corrective actions on timely basis for avoiding such mistakes in future.

ekkarill92 answered 1 year ago

Design a report useful to management and describe how to obtain it from the accounting system....

Design a report useful to management and describe how to obtain it from the accounting system. Detail the entities and attributes needed, the database relationships needed to obtain those attributes, any other report criteria, and the purpose or use of the report

Explain the logic behind the Bass diffusion model. How is the model useful to marketing managers?...

Explain the logic behind the Bass diffusion model. How is the model useful to marketing managers? What are the managerial implications of the model?

2 Distinguish between management accounting and financial accounting. Hint: - Meaning of Managerial Accounting and Financial...

2 Distinguish between management accounting and financial accounting. Hint: - Meaning of Managerial Accounting and Financial Accounting - Definitions of Managerial Accounting and Financial Accounting - Differences between ‘Financial Accounting’ and ‘Managerial Accounting’ - Conclusion

Please explain how management accounting differs from financial accounting.

Briefly explain/define the following and how they are inter-related: 'management accounting', 'cost accounting', 'activities management' and...

Briefly explain/define the following and how they are inter-related: 'management accounting', 'cost accounting', 'activities management' and 'financial reporting'

(a) What is management accounting? State the major areas for which management needs information from accounting....

(a) What is management accounting? State the major areas for which management needs information from accounting. (b) Explain the role of management accounting in different management processes. (C) "Cost-volume-Profit (C-V-P) analysis is based entirely on unit costs”. Do you agree? Explain.

1. Explain briefly the meaning of price leadership model in oligopoly market? 2. State how the...

1. Explain briefly the meaning of price leadership model in oligopoly market? 2. State how the cartel deal can succeed in the oligopoly market? 3. Senaraikan empat faktor kewujudan monopoli.

How Benefits Management relates to Accounting and Financial Management ? How accounting is used in the...

How Benefits Management relates to Accounting and Financial Management ? How accounting is used in the management of benefits. How is financial information gathered and analyzed that is used in decision making in Benefits Management?

Please explain how the Payback method can be a useful investment evaluation technique for management.

1. How does accounting profit differ from economic profit? Explain why accounting profit is more useful...

1. How does accounting profit differ from economic profit? Explain why accounting profit is more useful for paying your taxes while economic profit is more useful for deciding whether you should continue to stay in business. Give an example of an implicit cost and an example of implicit revenue. 2. What is the distinction between the microeconomic short run and the microeconomic long run? How do these definitions relate to specific periods of calendar time?

Question