Question

What are your perspectives about accounting before and after taking the managerial accounting?

Answer 1

Accounting of business/organisation plays a very important role in managing the resources of the business/organisation.
Accounting helps us to keep a track on the incomes and expenses of the business/organisation.

Accounting of business are of two types:

1. Financial Accounting
2. Managerial Accounting

Financial accounting is done to prepare the financial statements for the stakeholders like creditors, investors, shareholders, etc whereas managerial accounting is done to see the internal functions of the organisation and better inform the management for various makings.

Now accounting done before managerial accounting would show only the performance of the organisation and no other information about management and decision making can be obtained.
While after taking the managerial accounting, the proper, true and fair financial statements can be seen. Using both financial and managerial data, proper and detailed explanation of organisations accounts can be done.