Question

A management accountant is both an information provider and a part of management. Explain

Answer 1

Management accountants work for public companies, private businesses and government agencies. They may also be called cost accountants, managerial accountants, industrial accountants, private accountants or corporate accountants, but all perform similar functions within a company.

Management accountants are risk managers, budgeters, planners, strategists and decision makers. They do the work that helps the company's owner, manager or board of directors make decisions.

He is a information provider-
management accountant supervise lower-level accountants who handle a company's basic accounting tasks, such as recording income and expenses, tracking tax liabilities and using these data to prepare income statements, cash flow statements and balance sheets, but in a smaller firm, managment accountant might perform these tasks on his own. A management accountant will analyze these basic data and make forecasts, budgets, performance measurements and plans, then present them to senior management to assist in its operational decision making.

He is a part of management-

A management accountant may also identify trends and opportunities for improvement, analyze and manage risk, arrange the funding and financing of operations and monitor and enforce compliance. They might also create and maintain a company's financial system and supervise its bookkeepers and data processors. Further, management accountants may have an area of expertise, such as taxes or budgeting.