Management Accounting System: UCK Furniture Report and Benefits

This report provides an analysis of the Management Accounting System, specifically focusing on UCK Furniture. It explores the concept of management accounting, highlighting tools like budgeting and cost analysis. The report examines the essential requirements, different types of systems, and the benefits of implementing such systems, using UCK Furniture as a case study. It covers various management accounting reports, including operational budgets and job cost reports, and discusses the integration of these reports for effective decision-making. The conclusion emphasizes the advantages of adopting these systems for improved departmental understanding and operational efficiency, supported by cited references. The report covers topics like job costing, inventory management, and cost volume profit analysis, showing how these components contribute to informed decision-making and efficient resource allocation within the company, leading to enhanced profitability and operational success.

Management Accounting System
Part 1

Cover Content
 INTRODUCTION
 CONCEPT OF MANAGEMENT ACCOUNTING
 ESSENTIAL REQUIREMENTS OF DIFFERENT MANAGEMENT
ACCOUNTING SYSTEMS
 DIFFERENT TYPES OF MANAGEMENT ACCOUNTING SYSTEMS
 DIFFERENT MANAGEMENT ACCOUNTING REPORTS
 BENEFITS OF MANAGEMENT ACCOUNTING SYSTEMS
 INTEGRATION OF MANAGEMENT ACCOUNTING REPORTS
 CONCLUSION
 REFERENCES

INTRODUCTION
 Management accounting includes different tools and
techniques like budgeting, marginal costing, risk analysis,
standard costing, value analysis, cost volume profit
analysis etc.
 All such techniques provides statistical and functional
information to the executives of organisation for planning,
decision-making and selection of the most profitable
project which provides higher return.

Concept of management accounting
 UCK Furniture is a manufacturing organisation which
deals in two products Table and Drawer. It is understood
by the management of firm that large number of benefits
are gathered through implementation of management
accounting systems.

Essential requirements of different management
accounting systems
 Presentation of financial position
 Allocation of resources
 Assessment of risk

Different types of management accounting
systems
 Job costing system
 Price optimisation system
 Inventory management system

Different management accounting reports
 Operational budget reports
 Accounts receivable ageing report
 Inventory and manufacturing reports
 Job cost report

Benefits of management accounting systems
 Management accounting system enables in taking
beneficial judgement on the basis of short period
consideration.
 It is really important to understand such facts and things
which are reflected by MAS so that effectiveness and
efficiency could be maintained.

Integration of management accounting reports
 Integration and combination of two aspects make things
correct and appropriate in nature so that better and suitable
outcome could be enforced in gaining effective and
absolute results.
 Management accounting reports provide regular basis
consideration of operations which assist in gaining and
making better results.

CONCLUSION
 It has been concluded from the above report that large
numbers of benefits are gathered by the management of
UCK Furniture through adopting accounting systems. It
helps them to create more understanding among their
different departments.

REFERENCES
 Albelda, E., 2011. The role of management accounting
practices as facilitators of the environmental management:
Evidence from EMAS organisations. Sustainability
Accounting, Management and Policy Journal. 2(1). pp.76-
100.
 Zang, A.Y., 2011. Evidence on the trade-off between real
activities manipulation and accrual-based earnings