Management Accounting Report: M&S Costing and Budgeting

This report provides a comprehensive analysis of management accounting principles and their application within Marks & Spencer (M&S). It begins by defining management accounting and its importance, exploring various methods such as cost accounting, inventory management, job order costing, and price optimization systems. The report then delves into management accounting reporting methods, including performance reports, budget reports, and accounts receivable reports. A significant portion is dedicated to cost analysis, including marginal and absorption costing, to construct profit and loss statements. Furthermore, the report outlines the benefits and drawbacks of different budgetary management planning tools, such as capital expenditure budgets. Overall, the report aims to provide a detailed understanding of how management accounting systems function and contribute to financial control and decision-making within a retail context.