Management Accounting Report: Prime Furniture Case Study - Finance

This report provides an analysis of management accounting, focusing on the application of various accounting systems within the context of Prime Furniture, a manufacturing company. The report explores different accounting systems such as cost accounting, inventory management, job costing, and price optimization, highlighting their importance and how they contribute to effective decision-making. It also discusses the integration of these systems with management accounting reports, such as accounts receivable, cost, and inventory reports. The analysis includes how these systems impact the business operations, particularly in controlling costs, managing inventories, and optimizing pricing strategies to boost sales. The conclusion summarizes the significance of management accounting for large manufacturing companies, emphasizing the benefits of integrating different accounting systems with the organizational methods and procedures. The report also includes references to relevant literature.

Title
MANAGEMENT
ACCOUNTING

TABLE OF CONTENT
– Introduction
– What is management accounting
– Different kinds of management accounting systems
– What is management accounting reporting
– Types of management accounting reports
– Importance of different accounting systems
– Integration of MAS and MA reports
– Conclusion
– References

INTRODUCTION
There are several accounting aspects in the finance business world,
which include management accounting framework. It can be regarded
as systemic framework of management and accounting practices in
which internal assessments reports are compiled to help management
in make rational decisions. In this regard under this power
point, corporation named prime furniture being chosen. The
entity manages its operations through East London head office. Power
Point Display provides extensive information about the different forms
of MA systems and reporting frameworks.

What is management
accounting
It may be employed as a form of framework in which the
corporation 's managerial, internal and functional information are
handled in attempt to generate comprehensive business reports
with aim to support decision-making. These specific reports are
needed to make and implement strategic decisions.

Different kinds of management
accounting systems.
There are different-different of systems of MA and certain
of these are discussed here, as follows:
– Cost accounting system
– Job costing system
– Inventory management system
– Price optimization system

What is management
accounting reporting
The MA reports and methods of reporting can be
considered to constitute of a financial configuration and
coordinated information for managerial decision making.
These reported data are typically considered by business
managers to take effective and immediate decisions.

Types of management
accounting reports
Here are certain key MA reports which are used in Prime
Furniture, as follows:
– Accounts receivable report
– Costs report
– Inventories report

Importance of different
accounting systems
– Cost accounting system- This accounting mechanism is beneficial for
businesses to monitor all costs and allocate them effectively. For Prime
furniture limited, with this systems company can control and manage their
excessive expenditures/costs by effectively tracking costs areas.
– Stock control system-Contributes to the above-mentioned business in
attempt to allow efficient use of inventories in manufacturing as well as to
reduce inventories carrying costs.
– Price management method-This method allows businesses to place rates at
a degree that will maximize the products’s demand level.
– Job costing system-This mechanism allows businesses to calculate the cost
each units of items. As in respective business this system is advantageous
in establishing accountability in job-processes.

Integration of MAS and MA
reports
The MA contains different systems and reports that are compatible with
organizational methods and procedures. In Prime Furniture different
systems are linked with reporting methods for more effective decision
making. Like marketing department uses price optimization system to
boost total sales. Even so, MA reports, close to different accounting
systems, are tied to the business operation. Inventory reports and
inventory handling processes are linked with inventory management
system to provide more strict control over inventories movement
and optimize inventory costs.

CONCLUSION
This has been concluded, form Power Point Presentation
study that management accounting concept is quite
vital for specially large manufacturing companies like
Prime Furniture to navigate various types of internal
dimensions. This power point presentation facilitates
review of the integration of all aspects of divisions
of organization dealing with MA systems and documents.

REFERENCES
Ward, K., 2012. Strategic management
accounting. Routledge.
Wickramasinghe, D. and Alawattage, C.,
2012. Management accounting change:
approaches and perspectives. Routledge