Management Accounting: Systems, Reporting, Costing Methods, Budgetary Control and Planning Tools

Management Accounting

Contents
INTRODUCTION...........................................................................................................................................4
TASK 1..........................................................................................................................................................4
P1 Management Accounting System:......................................................................................................4
Management Accounting:....................................................................................................................4
Benefits of management accounting systems:.........................................................................................6
P2 Management Accounting Reporting:..................................................................................................6
Features of Financial Data:..................................................................................................................6
Different types of reports.....................................................................................................................7
TASK 2..........................................................................................................................................................7
P3 Cost and Costing Methods:.................................................................................................................7
Accounting techniques to produce financial statements........................................................................12
Interpretation of prepared financial statements......................................................................................12
TASK 3........................................................................................................................................................12
P4 Budgetary control and Planning tools:..............................................................................................12
Common Costing Systems:................................................................................................................14
SWOT Analysis:................................................................................................................................15
TASK 4........................................................................................................................................................16
P5 Financial Problems and Financial Governance:................................................................................16
Characteristics and Skills of effective management accountant:........................................................17
CONCLUSION.............................................................................................................................................18
REFERENCES..............................................................................................................................................19

INTRODUCTION
Management is made up of two words: management and accounting, both of which are
necessary for running a firm and making sound judgments. It is critical for businesses to know
how to expand and prosper in a hard climate. It has become essential for managers to employ a
management accounting needs and implement reports that will assist them in operating and
running their businesses efficiently (Nassereddine and Ahmad, 2019). This can assist in making
sound business judgments. It outlines techniques and concepts for effective planning, selection,
and administration of relevant business operations, as well as administration by evaluation and
effectiveness evaluation. Prime Furniture was chosen as the subject of this research. The research
includes a thorough examination of several accounting systems/frameworks, reporting
methodologies, and planning tools that are successful in addressing financial issues.
TASK 1
P1 Management Accounting System:
Management Accounting:
While there's no precise definition defining management accounting, it may be regarded
as the foundation or comprehensive method of collecting, analyzing, identifying, documenting,
and analyzing financial as well as non information in such a way that management of the
company may develop its plans and identify opportunities so that organisational vision and
mission are met. The notion of managerial accounting emerged around the end of the 19th
century to govern and regulate an institution's inner structure and constituents. The following are
some key distinctions between management and financial accounting:
Management Accounting Financial Accounting
This accounting system may utilise and show
monetary or non-financial relevant data.
Financial information are often used and
provided by revenue recognition systems.
Management accounting information is used
by team members including as administrators,
proprietors, and board of directors.
External parties including as stockholders, the
authorities, entrepreneurs, rivals, and others
can value refers accounting information.