logo

TASK 11 P1 Introduction to Management Accounting System

19 Pages5767 Words142 Views
   

Added on  2020-06-05

About This Document

Management Accounting INTRODUCTION 1 TASK 11 P1 Explain management accounting and give the essential requirements of different types of management accounting systems1 P2 Determine different types methods used in management accounting report. 4 D1 Management accounting system and management accounting reports are merged with in firms processes.5 TASK 25 P3 Calculating costs by using right techniques of cost analysis formaking income statement using marginal and absorption costs as specified above. 10 TASK 310 P4 Advantages and disadvantages of different planning tools

TASK 11 P1 Introduction to Management Accounting System

   Added on 2020-06-05

ShareRelated Documents
ManagementAccounting
TASK 11 P1 Introduction to Management Accounting System_1
Table of ContentsINTRODUCTION...........................................................................................................................1TASK 1............................................................................................................................................1P1 Explain management accounting and give the essential requirements of different types ofmanagement accounting systems................................................................................................1P2 Determine different types methods used in management accounting report. .......................3M1 Measuring the benefits of management accounting system and their application...............4D1 Management accounting system and management accounting reports are merged with infirms processes. ..........................................................................................................................5TASK 2............................................................................................................................................5P3 Calculating costs by using right techniques of cost analysis for making income statementusing marginal and absorption costs as specified above.............................................................5M2 applying management accounting techniques for making financial report........................10D2 preparing financial report that analysis and interpret data's for firms actives.....................10TASK 3..........................................................................................................................................10P4 Advantages and disadvantages of different planning tools for budgetary control...............10M3 Management accounting techniques to produce appropriate financial reporting...............12P5 Usage of management system to resolve financial problems..............................................12M4 Responding to financial problems......................................................................................14D3 Some planning tools used to solve financial problems.......................................................14CONCLUSION..............................................................................................................................14..................................................................................................................................................16REFRENCES.................................................................................................................................16
TASK 11 P1 Introduction to Management Accounting System_2
INTRODUCTIONManagement accounting is a term which is used to denote administration of financialsystem and information which is utilized by budgetary manager for proper decision makingprocess. Thus, it is a process which help them in making financial reports for precise and timelystatistical information. Based on that supervisors make short term decisions on a daily basis.Their main aim is to produce annual and half yearly fiscal reports which is required for accountsto make balance sheets, profit and loss. Unicorn grocery is a small co-operative grocery storesituated in Chorlton-cum-Hardy, Manchester, England. It is closely connected with sistercompany Glebelands City Growers in Sales. Company was founded in the year 1996 with aturnover less than £5 million. This store sells products like processed food stuffs, drinks,unpacked organic fruit, dried ingredients. This report includes accounting system of anorganisation, different tools used by them in decision making, methods of calculating cost withthe use of suitable cost analysis process. Other than this it tells us about advantages anddisadvantages of planning, various methods for adapting management accounting. TASK 1P1 Explain management accounting and give the essential requirements of different types ofmanagement accounting systemsManagement accounting is also called as cost accounting or managerial accounting. It is aprocess of making management report and accounts for providing necessary, accurate and timelyinformation to management its helps to take decision. In an organisation management accountinghave been done on weekly and monthly basis (Youssef, 2013). Its help out to internal andexternal people in organisation. In internals uses are employees, suppliers, purchases etc. and inexternal uses are shareholders, investors, debtors etc.It is a process of which analyse the costs of business and operations to prepare thefinancial report internally, records, and to aid managers of account decision making process forachieving the goals of the business. Managerial accounting is a provision of financial andinformation of decision making to managers.Management accountants looks on a event that happens around the company while seeingneeds of the company (Van der Stede, 2015). Estimates a emerge and data. It translate these data1
TASK 11 P1 Introduction to Management Accounting System_3
and estimates into knowledge that will guide in decision making. Controlling of assistmanagement in formulating and implementing of the strategy in a organisation it involvesmanagement partnering in making of decisions and the management systems performance. Theirare essential requirements of different types of managerial accounting systems:Inventory management system : Inventory management helps in tracking of goods fromthe entire chain of supply and all movements of parts and goods between. Business see allthe small and every single movements of goods and parts of its operations, allow them totake decisions and investments. Different mangers of inventory focus on different parts ofsupply chain with small business as they are more interested in ordering and end ofsupply chain because of wider scope inventory management costs are also wider. Asinventory management help in controlling of inventory and eliminate the wastage ofstock (Suomala and Lyly-Yrjänäinen, 2012). It helps in maintaining the balance betweenthe opening and closing stock or they mange the demand and supply of the goods withthe inventory management.Job costing system : Job costing system of accounting accumulates the manufacturing ofcosts separate from each job. Appropriate for company do the production of specialorders and unique products. It is understood that the costing of job analyse the systemprice of per job functions and performance. For example costing system of accounting ismost appropriate for an management of event of a company like a niche producing afurniture, air surveillance system having very high cost of producer etc. Job costingtracks the revenues and costs by job and standardized reporting enables the profitabilityby job. Accounting systems supports the costing of job, allow numbers of job assign tothe individual items of revenue and expenses. Price optimisation system : Prize optimization is used in the analysis of mathematical bythe organisations. It is to determine that how customers will behave to the different costof services and products through the different channels (enftlechner and Hiebl, 2015). Italso help in determining the organisation cost meet its objectives like maximizing theoperating profit. Cost optimization includes such as sales, historic prices, inventories andoperating costs. Prize optimization has implemented in production companies includesuch as insurance industries, cruise lines, car rental, hotels, casinos, airlines, banking and2
TASK 11 P1 Introduction to Management Accounting System_4

End of preview

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

Related Documents
Management Accounting in Company
|15
|5090
|35

Management Accounting of Unicorn Grocery : Case Study
|20
|6798
|163

Management Accounting Systems and Techniques: Assignment
|16
|5200
|329

Management Accounting Unit 5 - Types of Systems, Costing Techniques, and Planning Tools
|20
|6530
|205

Management Accounting of DELL - Doc
|17
|3831
|96

Management Accounting: Types, Methods, and Cost Analysis
|17
|4399
|221