logo

Business Report on Management Accounting

   

Added on  2020-06-05

17 Pages5363 Words43 Views
MANAGEMENTACCOUNTING
Business Report on Management Accounting_1
Table of ContentsINTRODUCTION...........................................................................................................................1TASK 1............................................................................................................................................1P1. Management accounting and essential requirements of its different types..........................1P2 Various methods used for management accounting reporting...............................................3M1 Advantages of management accounting systems and their application................................5D1 Management accounting systems and management accounting reporting...........................5TASK 2............................................................................................................................................5P3 Techniques of cost analysis to prepare an income statement using marginal and absorptioncosts.............................................................................................................................................5M2 Management accounting techniques and financial reporting documents.............................9D2 Financial reports that accurately apply and interpret data.....................................................9TASK 3 .........................................................................................................................................10P4 Advantages and disadvantages of different types of planning tools for budgetary control.10M3 Use of various planning tools and their application...........................................................11D3 Planning tools for accounting respond to solving financial problems................................11TASK 4 .........................................................................................................................................12P5 Organisation are adopting management accounting system................................................12M4 Evaluation of financial problems.......................................................................................13CONCLUSION.............................................................................................................................13REFERANCES..............................................................................................................................14
Business Report on Management Accounting_2
FROM: MANAGEMENT ACCOUNTING OFFICERTO,GENERAL MANAGERTAJ STORES SUB: MANAGEMENT ACCOUNTING SYSTEM INTRODUCTIONManagement accounting refers to a process of making the management reports as well asaccounts which gives timely and accurate statistical data or information needed by managers ondaily basis or to take the short term decisions. It provides accounting information and data to themanagers in a business firm and with the help of this, managers can take the good financialdecisions in a better and effective way. It is a procedure of determining, analysing, examining,interpreting and also, communicating information and data in order to achieve common goalsand objectives of firm (Arroyo, 2012). Taj Stores is small retail business firm which deals inhousehold materials. It provides various different household products to consumers. In thepresent business report, management accounting and necessary requirements of various kinds ofmanagement accounting systems are described. Under this given report mentions about thevarious methods which organisation uses. It is necessary that management should prepareaccounting reports in an effective and proper manner. There are some advantages anddisadvantages of various types of planning tools and techniques are also discussed which firmuses for budgetary control in this report. TASK 1P1. Management accounting and essential requirements of its different typesManagement accounting helps in developing the managing reports which provideaccurate data and information to managers. If data will be proper then employer can performbusiness related activities in an effective manner. It is beneficial in taking the short as well aslong term decisions. Employer uses this accounting provision of accounting data or information1
Business Report on Management Accounting_3
to take better decisions in favour of company (Baldvinsdottir, Mitchell and Nørreklit, 2010).With the help of this, performance of company or business will get improved. Managementaccounting helps in measuring and recording all the operations related to business for internalbusiness in order to increase development and profitability of Taj Stores in United Kingdom. Theaccounts manager of this company uses many accounting provisions to perform in a better way. Management accounting is helpful in formulating different financial accounts as well asreports which give relevant and exact financial data in a specific time period. Managers use thatdata in taking their daily decisions. It will be helpful for manager in taking their long as well asthe short term goals and targets of an organisation. With the help of this, managers can take dataor information in a proper manner and also, perform its business operations properly.Management accounting helps in providing relevant data to an organisation which is concernedwith the financial position of firm. It included information regarding ledgers, entries and alsobudgets. It is concerned as a primary aspect of an accounting system which leads managersregarding the information of accounts in order to determine total sales volume of an organisation,accounts payable and receivable (Bodie, 2013). It is necessary for the financial manager tocollect all necessary information and data and use during examining the performance level ofcompany and it will be helpful in taking the better decisions in favour of an organisation. Forinvestors, this type of accounting information is necessary in order to take idea regardingfinancial services of company and take better or effective decisions in order to invest the capitalof firm. With the help of using proper accounting system, issues related with developing andimplementation of new and effective plans and policies will be resolved in an easy and effectivemanner. The manager of TAJ stores can be resolved all the issues in a quick way so that it willnot develop the impact on growth and profitability of an organisation. In context to this, it isnoticed that the burden of managing finance on TAJ Stores increased because this firm do itsbusiness related operations at large scale (Burritt, Schaltegger and Zvezdov, 2011). It isnecessary for the small firms to utilize management accounting system from many advantages.Generally on the small firms has small resources along will the finance so these cannot do itsbusiness operations on large scale. The small companies cannot deal with high risk. In order toidentify the mistakes and defaults, it is necessary for manager to utilize the proper utilisation ofresources and management accounting system so that firm can perform its business operations in2
Business Report on Management Accounting_4

End of preview

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

Related Documents
Managing Accounting Systems for Responding Financial Troubles
|16
|5094
|65

Management Accounting Assignment Report
|20
|5501
|33

Management Accounting System
|16
|5334
|38

TASK 11 P1 Introduction to Management Accounting System
|19
|5767
|142

Report on Management Accounting and Systems - Taj Stores
|18
|5503
|95

Management Accounting PDF
|16
|5384
|253