Question

Benefits of Environmental Management Accounting

Answer 1

Benefit of Enviornmental Management accounting :- Enviornmental Management accounting start for managers to see the impact of corporate activities on the enviornment and impact of enviornment on the corporate. Managers has to see the cost for prevent the adverse impact on the enviorment. Managers has to make plan for the cost that need to be required for adverse the impact on the enviornment due to corporate activity. Waste management and reduce the watste of the input due to this cost reduced of the product. it is good for the consumer also because he is getting the price at reduced cost. Through enviornmental managment accounting process can also improve due to this failure or waste cost is also reduced. Through this management we can reduce the hidden overhead cost and product cost will be reduced. There are also lots of penalties by the local authority for not making enviornment freindly production hence through the enviornment managment accounting we will be reduced the penalties and fines and save the waste disposal costs.