Ask a question from expert

Ask now

MA Practices in Management Accousing Introduction

14 Pages3664 Words403 Views
   

Added on  2019-12-18

About This Document

MA helps the managers of IMDA Ltd for making the decisions in order to attain the objectives. On the other hands, financial accounting is the accounting which provides the reports to the outsiders or special interest group people about the organisation's finance related informations so that such outsiders would able to take their investment decisions. MA helps the managers of IMDA Ltd for making the decisions in order to attain the objectives.

MA Practices in Management Accousing Introduction

   Added on 2019-12-18

BookmarkShareRelated Documents
MANAGEMENTACCONUTING
MA Practices in Management Accousing Introduction_1
Table of ContentsINTRODUCTION...........................................................................................................................3TASK.1............................................................................................................................................3A).................................................................................................................................................31..............................................................................................................................................32..............................................................................................................................................4B).................................................................................................................................................5TASK. 2...........................................................................................................................................6TASK. 3...........................................................................................................................................9TASK. 4.........................................................................................................................................12CONCLUSION..............................................................................................................................12REFERENCES..............................................................................................................................13
MA Practices in Management Accousing Introduction_2
INTRODUCTIONMA practice is must for the business survival. There has been seen that the companywhich does not follow in their business the MA practices, are not run for a long run. There are somany bodies who specially trained the individual to practically apply MA practices in thebusiness. However, MA activities are applied almost all the companies for their betterment. MAactivities assist the management for practising within the organisation(Granlund, 2011). IMDALimited while applying MA practices in their business, did not apply effectively. That is themain cause why Imda Ltd did not take decision effectively. MA practises requires specialinterest individuals,like CPA, CA, ACCA etc. TASK.1A).1.MA practices are the one which reports to the management about the organisation's internalactivities. MA is the procedure is to determine the data, measuring of them, analyse them in abetter way and and communicating those data within the organisation for attainment of theorganisational goals and objectives. This is also named as “cost accounting”. MA assists themanagers of IMDA Ltd for making the decisions in order to attain the objectives. On the otherhands, financial accounting is the the accounting which provides the reports to the outsiders orspecial interest group people about the organisation's finance related informations so that suchoutsiders would able to take their investment decisions. MA use the informations which areconnected to the cost of the product or service(Fullerton, Kennedy and Widener, 2013). Whilefinancial accounting, is connected to the financial statements of the organisation. MA helps themanagers to make the plans or strategies for the betterment of organisation. MA is the broadconcept then finance accounting, as it covers finance related matters within itself. MA is theinternal process which is implemented for business transactions. While finance accounting isused to sum all the accounting information into financial statements of the company. BASIS OF DIFFERENCEMAFINANCIAL ACCOUNTINGAggregationIt reports at more detailedlevel. Like- profits byIt reports on outcomes of anwhole business.
MA Practices in Management Accousing Introduction_3
products,product line. Efficiency It reports on particularly, whatis causing issues and how tofix them. It reports on the profitability.SystemIt is totally concerned in thelocation of bottleneckoperations. It gives on attention to theentire system which anorganisation for producingprofits Time periodIt issue reports in order tomake budgets and forecasts.It relates to the financialresults which an organisationhas already attained. ValuationMA does not concern to theassets and liabilities of thecompany. Financial accounting find outan adequate valuation aboutassets and liabilities. 2.MA refers to the procedures for making management reports which could able to providesproper financial and other related informations to the managers for making the short term andlong term decisions. The MA plays crucial part in the IMDA Ltd. These are as follows:1.For assisting the future forecasting: MA assist in forecasting the future of thecompany. That will also supports for framing the decisions.2.Assisting in make or buy decisions: with the help of MA, company would get toknow about the product that whether it needs to produce the product or buy formthe sub contractor at a cheaper rate than the cost of production(Otley andEmmanuel, 2013). 3.Estimating cash flow: Forecasting and impacts of cash flow is must. MA assist inknowing the forecasting of cash flow, like- how much capital is needed in thefuture(Hiebl, 2014). MA covers designing of budgets and managers of the citedcompany implement this information to determines how to allocate capital forproducing the projected revenues.
MA Practices in Management Accousing Introduction_4

End of preview

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

Related Documents
Management Accounting of IMDA
|13
|3710
|54

Report Of Imda Tech Ltd - Management Accounting & Its Importance
|14
|3916
|44

Importance of Management Accounting – Doc
|18
|5800
|232

Report on Management Accounting - Lmda Tech
|16
|4607
|39

Difference Between Management Accounting and Financial Accounting : Report
|14
|4107
|67

Management Accounting System Using Absorption Costing
|13
|3516
|482