Management Accounting and Reporting Methods

Management
accounting

Contents
Contents...........................................................................................................................................2
INTRODUCTION...........................................................................................................................1
P1. Detailed elaboration of management accounting and essential requirements of different
type of management accounting systems....................................................................................1
P2. Evaluation of the various methods that are used in the reporting of management
accounting....................................................................................................................................3
M1. Detailed identification of the benefits of the system of management accounting...............4
D1. Examination of the integration of management accounting reporting with management
accounting system........................................................................................................................4
TASK 2............................................................................................................................................4
P3. Calculation of different types of costs using techniques that are appropriate and also
preparing an income statement using absorption and marginal costing methods.......................4
M2. Examination of different techniques of management accounting and producing
appropriate documents that are related with financial reporting.................................................8
D2. Analysis of reports that are related with the finances...........................................................9
TASK 3............................................................................................................................................9
P4. Evaluation, analysis, and examination of different planning tools that are used in
budgetary control.........................................................................................................................9
M3. Examination of different planning tools and its uses.........................................................10
P5. Comparison of different organizations and their methods of responding to the financial
problems....................................................................................................................................11
M4. Analysis and examination of the response that organisation gives to financial problems
and how management accounting can help to solve them in an effective and efficient manner
...................................................................................................................................................12
D3. Evaluation of the planning tools.........................................................................................12
CONCLUSION..............................................................................................................................12

REFERENCES..............................................................................................................................13

INTRODUCTION
Management accounting is one of the most important as well as crucial aspect since it
helps the managers of the company to take appropriate and necessary decisions so that it can add
value to the firm in the long term so that the enterprise can beat the competition and can stand
above from all the rivals that are prevailing in the similar industry (Andarwati, Nirwanto and
Darsono, 2018). In the concept of management accounting efficacy and optimum utilisation of
the available resources is the prime aim and the decisions that are taken in it are also taken
accordingly so that it can carter the needs, requirements, and demands of the organisation so that
the company can grow and prosper in the industry. Connect Catering Services is a firm that is
geographically located in the UK and is operational in the market of providing its services since
a long time period and thus as a result it has captured a larger share in the market too because of
its working. In this report there is a detailed analysis and evaluation of management accounting
and its related aspects that possess a lot of value in the present time and its essential
requirements. Apart from that the report covers different management accounting reporting
methods, different costs that has to be calculated by using appropriate technique like marginal
and absorption costing, advantages and disadvantages of different tools that are used in
budgetary control, and comparison of different firms and the financial problems that they face
while operating in the industry.
TASK 1
P1. Detailed elaboration of management accounting and essential requirements of different type
of management accounting systems
Management accounting is mainly the using of the information that is related with
management so as to make and implement appropriate decisions that can help the company to
take steps which can improve its efficiency in the market in which it is operational. In it
information that is of high importance is identified, analyzed, evaluated, recorded, and
summarized in an accurate and precise manner so that it can help the firm to work in a smooth
manner so as to operate in an effective way in the industry that can help it to improve its
performance in the long run (Brierley, 2017). It is a system that helps the company to grow and
foster in the current market situation that is highly competitive as well as dynamic in nature.