Management Accounting Systems and Reporting

MANAGEMENT
ACCOUNTING

TABLE OF CONTENTS
INTRODUCTION...........................................................................................................................1
Management accounting and types of management accounting systems....................................1
Management accounting reporting methods................................................................................3
Integration of management accounting systems and reporting within organisation. ..................3
CONCLUSION ...............................................................................................................................4
REFERENCES................................................................................................................................5

INTRODUCTION
Success and growth of organisation depends on the internal management of operations of
company. Internal management includes using number of tools and techniques that are essential
for achieving the growth and success of organisation. Management accounting is related with
application of range of systems and procedures for improving the efficiency and effectiveness.
This reports include the importance of management accounting, systems of management
accounting and the methods used in management accounting reporting. It will also cover the
benefits of using management accounting systems and integration of management accounting
systems and reporting in the organisational context. Study will enhance the understanding about
the management accounting systems.
Management accounting and types of management accounting systems.
Management accounting
It is a method of providing the financial informations and the resources to managers in
the decision-making. Management accounting refers identifying, gathering, analysing and
interpreting the financial information for the business enterprise. Management accounting is
used by company for improving the internal management of company. Organisations use
management accounting for statistical data for taking the better and accurate decisions,
controlling the business expenses and developing processes that will be enhancing the efficiency
and productivity of company (Otley, 2016). It is different form financial accounting that
provides information to the external users for decision-making.
Different systems used in management accounting systems and its advantages.
Cost Accounting
Cost accounting refers to the process concerned with calculating the cost of products or
services. It includes identifying all variable and fixed costs for manufacturing organisation. It
records all the costs and expenditures for making more accurate decisions thatg are essential for
controlling the costs and improving the productivity.
Advantages
Cost accounting helps prime furniture in measuring the costs incurred for producing the
furnitures. This also helps in keeping the costs under control by reducing the unproductive
activities.
Application
1