Management Accounting Report: Capricorn Wealth Management

This report provides a comprehensive overview of management accounting principles and their application within Capricorn Wealth Management. It begins with an introduction to management accounting, differentiating it from financial accounting and exploring various accounting systems like price optimization, cost accounting, inventory management, and job costing. The report then delves into different management accounting reporting methods, including budget reports, cost managerial accounting reports, and performance reports. It evaluates the benefits of various management accounting systems and emphasizes the integration of management accounting systems and reporting within an organization's processes. The report further examines cost analysis techniques, preparing income statements using both absorption costing and marginal costing methods, and interpreting the results. The report also discusses the advantages and disadvantages of different planning tools used for budgetary control and how organizations adapt management accounting systems to address financial problems, ultimately leading to sustainable success. The report concludes by highlighting the importance of management accounting in decision-making and organizational planning.

MANAGEMENT
ACCOUNTING

TABLE OF CONTENT
INTRODUCTION.........................................................................................................................3
TASK 1...........................................................................................................................................3
P1. Management accounting and its different types of system...................................................3
P2. Explain different method of management accounting reporting..........................................4
M1. Evaluation of benefits of various management accounting systems....................................5
D1 Management accounting system and management accounting reporting are integrated with
organisation process.....................................................................................................................6
TASK 2...........................................................................................................................................6
P3 .Appropriate techniques of cost analysis to prepare an income statement.............................6
M2. Management accounting techniques and financial reporting documents..........................10
D2. Financial reports which applies to interpret many business activities................................10
TASK 3.........................................................................................................................................11
P4. Advantages and disadvantages of different types of planning tools used for budgetary
control........................................................................................................................................11
M3. Usage of different planning tools for preparing and forecasting budgets..........................13
TASK 4.........................................................................................................................................14
P5. Organisations are adapting management accounting systems to respond to financial
problems....................................................................................................................................14
M4. Management accounting in response to financial problems can lead organisation to
sustainable success.....................................................................................................................15
D3.Various planning tools to resolve financial problems.........................................................16
CONCLUSION............................................................................................................................16
REFRENCES...............................................................................................................................17

INTRODUCTION
Management accounting is also called as managerial accounting or cost accounting. It is
the procedure of analysing business cost and operations for designing internal financial records,
reports and accounts which will help manager in decision making process for accomplishing
their goals and objectives. In simple term it can be said that, management accounting is use for
internal decision making of organisation (Ward, 2012). Financial and non-financial both kind of
information utilise for making report as well as there is no specific time duration for preparing
and using managerial reports. An organisation can use respective report when they required
without any restrictions. Apart from this, management accounting system is differ from financial
accounting because it help only in internal aspects of business. In this report, Capricorn Wealth
management Company is selected which was established in 2008 and its office is at
Hammersmith London, United Kingdom. Respective organisation provide wealth and financial
advice to their clients and offer several financial products and services, loans, mortgage products
and so on.
This report will going to discuss about the concept of management accounting along with
types and benefits. Moreover, going to focus on several accounting techniques as well as
managerial reports with their advantages and disadvantage. In the end, ways will be discussed
which utilise for overcoming from financial issues by effective implementation of several
accounting techniques.
TASK 1
P1. Management accounting and its different types of system.
Management accounting is type of accounting system which provide assistance in
management of organisations internal parts. It is helpful in making managerial report that is
required within association for designing their important policies and also in making internal
decisions (DRURY, 2013). Along with this, for an organisation it is not mandatory to maintain
respective accounting system it is totally depended on requirement. There are several types of
accounting system explanation of these are as follows :- Price optimisation system – It is an system which provide framework to organisation for
identifying price of goods and services which is suitable for both company and their
customer's. With the assistance of price optimisation system reaction of customer's at

different price level has been analysed. Generally main motive of this accounting system
is to provide factors that will assist is setting price. Capricorn Wealth Management
Limited utilise respective system for setting price of goods and services which is
advantageous for company as well as their customers. Cost accounting system – It is an accounting system which is helpful in determining the
cost of products including all the cost such as fixed as well as variable. Capricorn Wealth
Management Limited organisation utilise cost accounting system for checking out the
cost of several financial goods or services (Wickramasinghe and Alawattage, 2012).
Thus, it will assist in focusing on those services and products which are beneficial for
organisation. Inventory management system – It is one of the most important accounting system
within the organisation because it is related to tracking status of goods as well as services.
With the assistance of inventory management system association is able to identify
availability of products and services. Capricorn Wealth Management Limited implement
respective accounting system with the motive of tracking their product and services. For
instance, Company want to check clarification of mortgage loan's then in this process
inventory management system help in checking.
 Job costing system – It is the system which involve the procedure of accumulating
information related to the cost of production. Job costing system is suitable for the
companies who are offering variety of products and services. Capricorn Wealth
Management Limited is an firm which serving several financial services and products so
for them it is necessary to make estimation of each individual unit cost. Thus, respective
system help in analysing the cost of different financial goods and services along with
customer reaction at various price level.
P2. Explain different method of management accounting reporting.
There are several types of accounting report which is necessary for company but
management accounting have their play important role in relation of internal management of
business (Otley, 2016). This will assist manager of Capricorn Wealth Management Limited in
taking important decision and also framing strategies. Management accounting report involve

both monetary as well as non-monetary informations. Respective organisation prepare several
type of reports are as follows :- Budget report – It is an internal report which is not share with outsiders and budget
report assist in comparing estimated with actual performance. Along with this, it also aids
in designing future policies as well as strategies for association. Moreover, budget
estimate income and expenses for specific time period and respective firm will follow
this in accomplishing their goals and objectives. Cost managerial accounting report – It is an accounting report which provide
framework for checking profit and loss from several activities. Cost managerial
accounting report assist in calculating all the expenditure before selling of product and
after that compare with the income from selling (Fullerton, Kennedy and Widener, 2014).
Thus, if expenses are more then income it will be loss for company whereas, expenses are
less then income it will be profit. Although, Capricorn Wealth Management Limited
utilise cost managerial accounting report with the motive of analysing profit and loss as
well as also for making future policies.
 Performance report – In simple term it can be said that, performance report is that which
utilise for measuring the performance of something. In relation of management
accounting, performance report simply means judgement the performance of staff
members well as organisation for accomplishing predetermined goals (Otley And
Emmanuel, 2013). It decrease the level of complexity for deciding which personnel is
eligible for rewards and who don't. Capricorn Wealth Management Limited apply this
report in their working for analysing performance of company as well as their employees.
Moreover, it will assist manager of respective firm in checking the performance of each
and every individual activity.
M1. Evaluation of benefits of various management accounting systems.
Advantages of Job costing system -
 Job costing provide an basis for estimating cost of similar job that will be taken in future. It provide detail analysis the cost of material, overhead and labour for every job as and
when needed.
Advantages of cost accounting system -

 Cost accounting system assist in finding out the reason behind high cost in the procedure
of goods and services offering. Through this organisation can make cost estimate of products and services which offering
by them.
Advantages of price optimisation system -
 It provide framework through which company can analyse reaction of customers at
different price level (Maas, Schaltegger and Crutzen, 2016). Price optimisation system assist organisation in identifying the level of price that will be
beneficial for company as well as customer both.
Advantages of inventory management system -
 This management system is beneficial in tracking status of several goods and services.
 Inventory management system assists in saving time and cost.
D1 Management accounting system and management accounting reporting are integrated with
organisation process
In respect of an organization management accounting reporting that include accounting
system is very important and necessary. This is so because both of them are linked each other
such as if an organization want to develop managerial report. For management accounting
system appropriate data as well as information is necessary. In their is absence of respective
thing then companies didn’t able to develop report and also can’t take appropriate decision for
further activities (Kotas, 2014). In respect of Capricorn Wealth Management Limited they
develop various management report through adopting different accounting techniques and tools.
Along with this it will minimise or reduce complexity of preparing accounting report of a
company.
Distinction between management and financial accounting
Basis Management accounting Financial accounting
Definitions This is the system which
facilitates appropriate data to
the managers in order to
formulate plans, strategies as
well as policies for
It is an accounting system
which concentrates on
financial statement preparation
for providing finanacial data to
interested parties.

performing business
effectually.
Objectives It gives financial data to
externals.
It aids management to plan as
well as make decisions to
facilitates elaborated data on
many matters.
Format Its format is specified. In this there is not specified
format.
TASK 2
P3 .Appropriate techniques of cost analysis to prepare an income statement
Absorption costs – It is the methods which calculate cost of manufacturing by including
both fixed as well as variable cost. This is needed for external financial reporting and for income
tax also.
Marginal costing – It is the cost of one additional unit of output and concept of marginal
cost is use for determining the optimum production quantity for association, where it cost fewer
amounts in production of additional unit.
Income statement by using absorption costing method:
Particular Amount
Sales (25*10000)
Less- Cost of goods sold
Gross profit
Less- Selling and manufacturing overhead
Net profit
250000
140000
110000
60000
50000

Working Notes*
Calculation of sales (25*10000) - 250000
Calculation of cost of goods sold - 140000
(Direct material+ direct labour+ Variable manufacturing overhead+ Fixed manufacturing
overhead: 50000+30000+20000+40000)
Calculation of selling and manufacturing expenses - 60000
(Variable selling and manufacturing overhead+ Fixed selling and manufacturing overhead:
30000+30000)
Income statement by using marginal costing method:
Particular Amount
Sales
Less: Marginal cost of sales
Contribution
Less: Fixed cost
Net income
250000
130000
120000
70000
50000
Working Notes*-
Calculation of marginal cost of sales - 130000
(Direct material+ direct labour+ Variable manufacturing overhead+ Variable selling and
administration expenses: 50000+30000+20000+30000)
Calculation of fixed cost - 70000
(Fixed manufacturing overhead+ fixed selling and administration expenses: 40000+30000)
Interpretation- After going through the above numerical, it has been identified that in
both of the costing method organisation is getting equal net income. Thus, in the absorption
method net income is of 50000 whereas, same in marginal costing also.
Income statement by absorption costing method (When 5000 units sold)
Particular Amount
Sales (5000*25) 125000

Less- Cost of goods sold:
Direct material- 50000
Direct labour- 30000
Variable manufacturing overhead- 20000
Fixed manufacturing overhead- 40000
Gross loss
Less- Selling and manufacturing overhead
Fixed selling and manufacturing overhead- 30000
Variable selling and manufacturing overhead-30000
Net loss
140000
(15000)
60000
(75000)
Income statement by marginal costing method ( When 5000 units sold)
Particular Amount
Sales(25*5000)
Less- Marginal cost of sales:
Direct material- 50000
Direct labour- 30000
Variable manufacturing overhead- 20000
Variable selling and administration expenses- 30000
Contribution
Less- Fixed cost:
Fixed manufacturing overhead- 40000
Fixed selling and administration expenses- 30000
Net loss
125000
130000
(5000)
70000
(75000)
Interpretation- After going through the above given number, it has been examine that
company is getting loss from both of the costing method. Thus, by using absorption method, net
loss is 75000 and in marginal costing also same loss is occurring i.e., 75000.

Financial reporting document with labour and material variances:
Budgeted Actual Variance
Units 1000 1100 100(F)
Hours 3000 3400 400(A)
Units per hour 3 3.09 0.09(F)
Labour 15000 17680 2680(A)
Labour rate per unit 15 16.07 1.07(A)
Labour rate per hour 5 5.2 0.2(A)
Actual
Units 1000
Material used Kg 2200
Actual Material cost 20900
Material cost per kg 9.5
Material cost per unit 20.9
Budgeted material cost per unit of the product 2kg at £10/kg
Budgeted material cost per kg ( £ 10/2) 5
Budgeted Material cost 11000
Variance (Actual- budgeted) 9900(A)

M2. Management accounting techniques and financial reporting documents
Techniques of management accounting are essential for creating financial report and
statement. There are various types of techniques and tools through which financial documents
can be develop such as balance sheet, profit and loss and so on. This is so because it provides all
the necessary information and data for developing financial statement. In respect of Capricorn
Wealth Management Limited develop financial statement through different tools and techniques
of accounting.
D2. Financial reports which applies to interpret many business activities
Financial report defined as all activities of a business in manner which can be understand
easily. It is possible to check financial position of company by using various techniques like
balance sheet, profit and loss statements and many more (Hiebl, 2014). Basically, this used by a
company in order to identify proper financial performance of company as well as external
parties. In context of Capricorn Wealth Management Limited they develop various financial
reports in order to check and understand its financial position such as income statements, profit
and loss statement and many more.
Apply PEST analysis to the financial position of an organisation
Pest analysis is conducted by Capricorn wealth management limited to know about their
financial positions:
Political: The political conditions is favourable to the Capricorn Wealth Management
Limited then there should be stability in their financial positions.
Economic: various factors focus on problems such as minimum wages, exchange rates
and so on. So, Capricorn Wealth Management Limited have to view all these issues seriously in
order to maintain their financial position.
Social: This factors consider growth rate of population, distribution of age, career
attitudes and so on. These are crucial demographic attributes for investor to measure the
characteristics of customers as well as these factors assist to determine the Capricorn Wealth
Management Limited to invest into.
Technology: As technology is becoming advance day by day so they provides various
systems, software etc. in respect of financial data. This allows Capricorn Wealth Management
Limited to plan a manner for scaling their growth assure levels of cost effectual production.

TASK 3
P4. Advantages and disadvantages of different types of planning tools used for budgetary control
Budgetary control is regarded as tool or techniques which are used in helping formulation of
future financial performance and analysing goals through past budgets. Such technique is used
by manager in order to control and monitor financial operations and cost of accounting period.
The controls plays an effective role to organisation as it aid senior level manager for managing
and operating performance of operations in effective manner which leads to chances of making
maximum profits (Schaltegger, Gibassier and Zvezdov, 2013). These tools help in providing
estimation for incomes and expenses to firm for financial period and financial position in
competitive world. The manager of Capricorn Wealth Management Limited should considers
different factors for setting non financial and financial targets in order to coordinate and control
various financial activities among multiple departments. There are different kinds of planning
tools used for budgetary control along with advantage and disadvantage which are described
below:
Flexible Budget- It is techniques that assist in making various changes in budgets which
can be occurred at time. Such budget is used by all types of organisations as budgetary control.
This planning measure helps in estimation of expenses and revenues that is based on current
outputs. Such budgets are used for evaluating success and failure areas in operations of past
performance during financial year (Herzig, Schaltegger and Burritt, 2012). The manager of
Capricorn Wealth Management Limited should prepare budget for all types of operations that
varies from each other or variable in nature. When there is change in any activity then such
changes can be adopted easily. There are some advantage and disadvantages of flexible
budgetary control which are given below:
Advantages- The advantage of flexible budget are as follows:
 These budgets help in providing accurate and authenticate outcomes as it covers different
types of activities separately.
 This budgetary control helps in bringing coordination among different activities in
Capricorn Wealth Management Limited.
Disadvantages- The disadvantages of flexible budgets are given below:

 This budget does not remain fixing during particular period of time which creates
difficulty for manager of Capricorn Wealth Management Limited to understand it in
better and effective way.
 There are many variables included in flexible budget which is very difficult for
administering and formulation in order to get outcomes.
Contingency Planning- It is used by manager for managing different types of risk which
is associated with unexpected or sudden situations arising while performing operations in
business. This is type of tools or techniques which aid in establishing different plans and
strategies for overcoming issues which can arise at work place (Chenhall and Moers, 2015). This
planning can helps manager of Capricorn Wealth Management Limited for formulating various
back up plans, schedules and strategies for eliminating hurdles that can incurred on performing
daily operations. It also helps in reducing unfavourable situations that can arise in organisations.
The advantages and disadvantages of budgetary control are discussed below:
Advantages- The advantages of contingency planning are described below:
 This assist in taking and addressing corrective actions for unexpected problems which
can arise in Capricorn Wealth Management Limited.
 This planning can provide benefits to Capricorn Wealth Management Limited by
minimizing chances of risks, failure, losses by formulation of effective back up plans and
strategies.
Disadvantages- Contingency planning has following disadvantages which are given below:
 This planning involve huge cost and time taking process is also large for organisation as
manager need to be updated as per changing situations which can arise in business.
 While formulating different backup plans for organisation in contingency and emergency
situation which leads in creating conflict among various ideas of manager for dealing in
respective situations or areas.
Forecasting Tools- This is a technique that helps in prediction of future through
analysing present and past circumstances and budgets of enterprise (Morales and Lambert,
2013). It is tool that is used for anticipating future plans and outcomes that is based on past
information or available in organisation. The manager of Capricorn Wealth Management Limited
can use such techniques for estimating and guiding need and requirement of future by analysing
financial statements, going through past records, information and calculating various types of

ratios. This planning budgetary control carries both advantage and disadvantages which are
given below:
Advantages- The advantages carried by forecasting tools are as follows:
 These techniques can provide benefits to manager of Capricorn Wealth Management
Limited in formulation of better future plans through consideration of valuable financial
information.
 Such tool helps Capricorn Wealth Management Limited by keeping their clients and
consumers happy through providing of assumptions based on estimation of budgetary
report.
Disadvantages- Forecasting tools has following disadvantages which are given below:
 The collected information by manager of Capricorn Wealth Management Limited from
various departments may not be appropriate or suitable for making proper plans,
programmes and strategies for future course of actions.
 This manager of Capricorn Wealth Management Limited faces difficulty in predicting
accurate data and information for future course of actions and formulating plans and
strategies.
M3. Usage of different planning tools for preparing and forecasting budgets.
Budgetary control helps in describing transparent picture of any business through proper
use of available techniques and tools that assists in preparation and formulating of future
financial goals and performance through proper analyses of past budgets (Lukka and Vinnari,
2014). These tools help and control activities of Capricorn Wealth Management Limited for
making better plan in order to achieve results and financial position for future periods of time by
proper analysis of present as well as past budgets. There are various types of planning tools for
preparation and forecasting budgets such as Contingency planning, Flexible budgets and
forecasting tools. Here, Contingency planning is used for formulating different back up plans,
strategies and schedules to removes hurdles in daily performing operations and reduction of
unfavourable situations arise in the enterprise. Flexible budgets are used for preparation of
different budgets for operations that are variable in nature. Similarly, Forecasting tools are used
to provide proper guidance to the managers for estimating future need and requirement through
analysing financial statements, calculating the ratios the past financial information or available
historical data. All tools helps in describing planning tool for preparation and forecasting

budgetary activities that helps in making profitability and financial positions in competitive
environment.
COSTING SYSTEMS:
There are various costing system some of them that are applied by Capricorn Wealth
management Company are mentioned below: Actual costing: This is considered as a product costs recording based on the factors such
as actual cost of labour, material and overheads that are incurred and are allocated with
the assistance of exact quantity. So, it help Capricorn Wealth management Company
manager to examine the production hours that a goods needed. Normal costing: this is refers as a cost allocation process which allot costs to goods
according to materials, labour and overheads utilise to manufacture them. This assists
Capricorn Wealth management Company to assign the cost of their products and
services. Standard costing: It is considered as a accounting system that are utilise by few
producers for identifying variance. Also, this is the practices of substituting desirable cost
for actual one into the records of accounting. It is helpful for Capricorn Wealth
management Company as through this they cam measure the difference among actual as
well as standard cost and also analyse then in order for managing productivity. Job costing: This is considered as an expenditure monitoring system which assign
producing costs to all goods, also enables manager to maintain record of expenses.
Capricorn Wealth management Company can utilise this to allocate the cost of job order
at its actual value as well as track costs accurately for producing a profitability. Process costing: This is the term which is utilise to explain single process for gathering
as well as allocating producing costs to the units produced. Through this Capricorn
Wealth management Company can determines the cost goods at every stage that is
production process. Batch costing: In this product making costs is computed through its batch instead of
single item, involving comparing the costs of various size batches formed under many
situations. With the help of this system Capricorn Wealth management Company can
know the cost of whole product batch.

 Contract costing: this is considered as a cost tracking that are related with particular
contract with a consumers. With the help of this Capricorn Wealth management
Company can bid for the projects which are benefited for them.
TASK 4
P5. Organisations are adapting management accounting systems to respond to financial problems
There are varieties of problems which are faced by an organization while conducting or
adopting management accounting system. Some major financial issues which are face by
Capricorn Wealth management Limited are mentioned below:-
Financial problems: Financial problems refer to financial pressure within an
organisation which influences strategies in order to meet basic requirements. In an organization
there are different type of financial issues or problems that will directly or indirectly influence
profitability ratio and operational competence of any organization (Ward, 2012). Along with this,
several strategies are developed in order to overcome situations. In respect of the Capricorn
Wealth Management Limited they develop various provisions which help them in dealing with
financial problems. Such as:
Problem of cash flow: It refers to those problems which are basically arises when an
organisation does not have that amount of cash by which they pay its liabilities. In context of
Capricorn Wealth management Limited they go through various problems such as capital
expenditure done activities for promoting its brand as well as image. But they are not able to pay
back its debt to creditors. There are several expenses which are done by the organization such as
payment of taxes to governments, incentives and remuneration payment for all staff and many
more.
Management accounting approach: This approach is used by an organization in order to
resolve problems and issues which are facing by staff at workplace (DRURY, 2013). This type
of approaches provides essential and necessary information to mangers and leaders which leads
to development of proper plans as well as strategies. In respect of Capricorn Wealth management
Limited resolve their issues related to finance by adopting various methods, some major if them
are explain below:-
 KPI: It refers to key performance indictors which are used by an organization in order to
identify and measure performance by which they able to compare themselves with other

competitive companies in effective and appropriate manner. Appropriate key
performance indictors help in focusing towards process as well as function which is
carried by a business (Wickramasinghe and Alawattage, 2012). Along with this it is
consider as most appropriate and essential tool for decision making process and
identifying target. By this an organization also able to compare their standard terms in
respect of measuring process, goal and performance of a company.
 Benchmarking: Benchmarking refers to a technique or tool which is used by an
organisation in order to evaluate its performance among with their competitors at a
marketplace. This type of approach is used by a company for identify appropriate and
effective opportunities that leads to improvement as well as wants reduction or closure of
gap by which competitors along with monitoring the performance on daily basis. The
respective approaches helps an organization in many ways such as help in developing
clear defining, measuring and interpreting performance of an individual as well as
organizational in order to fulfil objectives as well as goal.
 Financial governance: This is considered as a manager through which firm gathers,
maintain, monitors as well as controls the financial data. It involves that how
organisations track its transactions of funds, maintain performance and control
information, activities, disclosure and compliances. It is the process through which
Capricorn wealth management limited can able to manage the information that are related
to finances.
Comparison among Capricorn Wealth management Limited and Brightstar Financial Limited.
Basis of Difference Capricorn Wealth Management Brightstar Financial Limited
Problem One of the major issues through
which Capricorn Wealth
Management Limited is gone
through is ineffective management
of money. Revenue of company is
running short as comparing through
expenses. So that respective
company face issues like ineffective
money due to which company not
The issues through which
Brightstar Financial Limited
gone through are risk
management and problem of
cash flow. This is so because
respective company fails to
examine as well as develop
strategies for minimize the

able to pay for proper resources. uncertain risk.
M4. Management accounting in response to financial problems can lead organisation to
sustainable success
Management accounting approaches refers to benchmarking and key performance
indicators that play essential role at benchmarking and key performance indicators in order to
achieve effective success (Otley, 2016). This can be den through adopting various strategies and
plans that leads to minimising all issues related to financial. The Capricorn Wealth Management
Limited adopt or apply various activities such as comparing activities, adopt proper key
performance indicators, compare performance of competitors and many more. Brightstar
Financial Limited adopts respective strategies in order to know about benchmarking by which
they identify opportunities in appropriate manner. Along with this they able to minimising as
well as reducing gaps with competitors on daily basis.
D3.Various planning tools to resolve financial problems
Planning refers to the tools which help an organization in formulating and developing
strategies in advance in order to conducting proper and effective operations at a workplace
(Fullerton, Kennedy and Widener, 2014). Capricorn Wealth Management Limited and Brighstar
Finance limited is going through issues related to unexpected situation which directly and
indirectly affecting their profitability as well as working. Thus decision making authority of
Capricorn Wealth Management Limited decide to adopt various strategies and plans such as
flexible budget, design forecasting tools, proper planning and many more. By this they able to
adopt and handle unexpected situation in proper and appropriate manner. Along with this, they
able to enhance profitability ration and productivity of workers in effective manner.
Characteristics of a management accountant skills
There are various characteristics of Capricorn Wealth Management Limited management
accountant some are mentioned below
:
Decision making: The main characteristics is to facilitates relevant data to management for
making effectual decisions.

Facilitates financial data: The main characteristics is to facilitates relevant data to management.
The data should always suitable to different levels of management in order so that they can
review policies as well as make effectual decisions.
As management accountant find out the opportunities as well as trends for development,
examine and manage the risk, organise the activities funds also enforce and monitor funds. It
deals with the problems by using the various management accounting system such as inventory
management system, cost accounting system, job costing system, price- optimising and so on.
CONCLUSION
From the above discussion it has been concluded that, management accounting play
important in the organisation within decision making process and also in accomplishing goals as
well as objectives of business. There are several type of system involved which is beneficial for
company such as accounting system, job costing, price optimisation and inventory management.
Apart from this, there are several forms of reports such as performance report, budget report, cost
managerial accounting and so on which utilise by the chosen company for management of
accounting. Moreover, for cost analysing to preparing income statement absorption and marginal
techniques is applied by the Capricorn Wealth Management Limited. Along with this, several
approaches like KPI as well as benchmarking utilise by the company for resolving financial
issues in order to gaining sustainable success.

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