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To provide information
To direct & control activities
To motivate towards organisational goals
To measure performance
The main objective: to support decision-makers by providing relevant information and reports in a timely manner
Appropriate information is that matches the needs of management in decision-making,
The objective of managerial accounting is to provide management with information & reports needed decision making. Hence managerial accounting helps internal user more than external user.
Providing information for decision making and planning: Virtually all major decisions by internal users (i.e., managers) rely largely on managerial accounting information.
1. Type of data: This information includes financial and nonfinancial data to help managers with strategic planning and decision-making (e.g., the cost of products, budgets, cash flows).
I gree with answers provided
assistant manager in making planning and control decision
emphasis on organization projects process and subdivision
* planning = strategic aims long and short terms + annual budget
* control= measurement+evaluation + oversight
Managerial Accounting is one of the most important disciplines in the field of administrative pivotal Administrative Sciences and accounting where involve hiring a summary of experience and knowledge in the accounting and administrative work in the Executive any institution or company service, and is based on the provision of information and data for managers and core accounting tools methodologies used with the most appropriate and in line with the administrative work and Executive and that the requirements for the prudent management decisions emerge from the positive results later through more effective management of the process and adjusting the functions of the administrative work more effectively.
Where the aim of management accounting, in essence, to the following objectives:
1. managers in institutions and companies the tools of financial accounting and valuation of financial instruments accounting and administrative assessment of performance overall and in detail at the same time provide.
2. based on deep analysis of the data available on the methodologies used and accurate knowledge of the science of management accounting tools at the same time.
3. constitute a financial outlook towards the achievement of performance and profitability of the institution and will issue appropriate recommendations to restore the administrative process systems as a whole to achieve harmony with the requirements of the future plan.
4. The study of potential threats to the continuity and vitality of the work and you draw the necessary frameworks for adaptive management in order to avoid any potential financial shocks or to work at the present time or the future on the basis of accounting for the comprehensive analysis of the administrative work is done.
1- Provision of information in time
2- Cost control and variance analysis
3- Projections about future cash flow and investment decisions
4- Decision about the right way of doing the business
The main aims Managerial Accounting is to provide an information in context that was appropriate in handling and assist some strategic and operational decisions, because the traditional accounting figure will not be relevant in some seditions.
Also The Managerial Accounting will help in selection and adoption for many performance and control techniques that will help to appraise and develop the current and future performance ( like budgeting's and costing and may include some KPI's even financial and non financial.
Measuring performance: Management accounting measures two types of performance. First is employee performance and the second is efficiency measurement. The actual performance is measured with the standardized performance and a report of deviation from the standard performance is reported to the management for the effective decision making and also to indicate the effectiveness of the methods in use. Both types of performance management are used to make corrective actions in order to improve performance. Assess Risk: The aim of management accounting is to assess risk in order to maximize risk.Allocation of Resources: is an important objective of Management Accounting.Presentation of various financial statements to the Management.
