logo

Advance management Accounting - Assignment

   

Added on  2021-02-21

12 Pages3818 Words73 Views
Advance ManagementAccounting

Table of ContentsINTRODUCTION...........................................................................................................................3TASK...............................................................................................................................................3Overview of company:.................................................................................................................3P1. Analyse the purpose for developing and presenting financial information:..........................3TASK 2............................................................................................................................................6P2. Use of different accounting microeconomic techniques:......................................................6TASK 3............................................................................................................................................7P3. Concept of variance analysis in its importance:....................................................................7P4. Actual and standard costs to control and correct variances:..................................................8TASK 4..........................................................................................................................................11P5. Changing business environment's impacts on management accounting:............................11CONCLUSION..............................................................................................................................12REFERENCES..............................................................................................................................13Kaplan, R. S. and Atkinson, A. A., 2015. Advanced management accounting. PHI Learning.....13

INTRODUCTIONAdvanced management accounting relates to more advanced concepts, techniques andmethods which are organised around an action plan allow to focus on allocating problems andidentifies challenges. Moreover, its also deals with solving such challenges and issues. It is morewide field of accounting, finance and management as it covers highly challenging tasks andprovides techniques to resolve them efficiently. Yearly fiscal budgets is proposed by companieswith help of management accounting tools and methods, which determines the ways of futureaction plan, frameworks and strategies. It aims to present business information for managerialtasks and assisting stakeholder (Kaplan and Atkinson, 2015). Study provide a discussion onmotive of presentation and framing of fiscal information and effective application of techniquesof management accounting in context of Explorer Boats, UK's Boat manufacturing company. Itis SME enjoying profitability and wants to make expansion in business. The study also analysethe possible ways a change in factors of business environment affects adopted managementaccounting processes.TASKOverview of company:Explorer Boats is UK's small and medium enterprise. Company is manufacturer of boatsand iconic Turbojet. Company has unique range of boats and it also provides services ofcustomisation of boats as per customers specifications. It designs interior of boats andmanufactures different essential parts. Company known for manufacturing of affordable boats inUK. It focus on making boats within customer's budget. It is moving forward in industry byproviding quality products. P1. Analyse the purpose for developing and presenting financial information:In current competitive business environment, every corporate putting their efforts toincrease the number of investors by attracting them. To bring new investments in businesscompanies presents their annual accounts and financial information. Investors using suchinformation decides what about holding and making investments. Developing information iscrucial element in management accounting as it provides basis for systematic presentation ofinformation. Organisational processes are designed by managerial personnel to ensure thatefficacious information is generated from such processes. Stakeholder are core user of that

financial information. Following is discussion on main aim of presenting and developing fiscalinformation in perspective of different stakeholders as follows:For internal stakeholder: Internal stakeholders are referred as the people who are internalto an organisation. They are the first one's who gets affected by any thing wrong happening inthe company. Internal stakeholders in any typical company consists majorly of employees, boardof directors, management and internal departments working as a single function. All thesestakeholders need to be satisfied with evident financial information so that they have some baseto uphold their stakes satisfactorily (Al-Dhubaibi and Abdullah, 2016). The need for financialinformation for individual stakeholder arises because:Employees: They are the backbone of any organisation. They toil every day to make theorganisation a successful identity. They seek financial information of the company to keepthemselves secured of their compensation, their bonus, incentives and the stability of their job. Itthe company is doing bad; it will affect their life as well by non payment of salary or may beretrenchment in some cases.Management : They are the one's responsible for making strategies for the business. Theyare the only responsible body for the functioning of the organisation; hence the relevance offinancial information is the greatest for the management of the company. They seek suchinformation to evaluate profitability, and design future policies and strategies for the business tobe conducted. Board of directors: They are responsible for the good governance of the organisation.They consist of few members who regulate the functioning of the business being internally butbehaving externally. They need financial information to check whether the organisation ismaintaining financial sanctity and upholding the interests of the investors. They present financialreports to the public during general meetings, and for this reason they need to study the financialdata in advance (Machado and Alves, 2017). Departments : Apart from an individual employee, the departments in an organisationlike marketing, production, HR, finance departments etc. seek financial information to analysehow well they have contributed in the overall growth and what kind of future challenges theymay face. They wish to seek information to know the budget allocation for their respectivedepartments.

End of preview

Want to access all the pages? Upload your documents or become a member.

Related Documents
Advanced Management Accounting Assignment Solution
|17
|4463
|105

Management Accounting - Jaguar Assignment
|37
|5852
|82

Analyzing the Purpose and Presentation of Financial Information with the Viewpoints of Different Stakeholders
|15
|4258
|62

Advanced Management Accounting (Doc)
|13
|3882
|370

Finance and Funding in Travel & Tourism Sector
|9
|320
|217

Management Accounting of Williams Performance | Report
|19
|5003
|72