Chapter 16 : Introduction to Managerial Accounting

what is the primary purpose of managerial accounting Providing internal management with information needed to run a company efficiently and effectively Define Managerical reports for planning (budget) describe the differences between service , merchandising and manufacturing companies -Manufacturing companies purchase materials and convert them into various finished goods, -merchandising sector Read more…

ACC Chapter 14

Managerial accounting applies to all types of businesses, including service, merchandising, and manufacturing, as well as to all forms of business organizations. True. Which of the following statements is not true about managerial accounting? It is highly aggregated. Which of the following statements is true about managerial accounting? It provides Read more…

Financial VS Managerial Accounting

Financial External Users: Stockholders, creditor, and regulators Financial Statements are quarterly and annually Financial General Purpose Financial Pertains to business as a whole, conduced. Limited to double-entry accounting and cost data Financial Audited by CPA Managerial Internal Users: officers and managers Managerial Timeliness – internal reports as frequent as needed Read more…

Financial vs. Managerial Accounting

Primary users of reports in FINANCIAL accounting external users Primary users of reports in MANAGERIAL accounting internal users Types of reports in FINANCIAL accounting financial statements Types of reports in MANAGERIAL accounting Internal reports Frequency of reports in FINANCIAL accounting Quarterly and Annually Frequency of reports in MANAGERIAL accounting As Read more…

Introduction to Managerial Accounting- Chapter 1 Differences between Managerial & Financial Accounting

Managerial Accounting Internal Users (such as managers) are the primary users of the information. Fianancial Accounting External Users (such as creditors, stockholders, and government regulators) are the primary users of the information. Managerial Accounting Helping managers plan, direct and control business operations and make decisions are the primary purposes of Read more…

Managerial Accounting Chapter 1

managerial accounting This is providing accounting information for a company’s internal users, emphasis on the future -Is not bound by GAAP, Financial and non financial information; subjective information possible -Has three broad objectives: Planning, Controlling, Making Decisions planning The detailed formulation of action to achieve a particular end -this is Read more…

Managerial Accounting

Managerial Accounting Internal use, for managers, CFOs, reports whenever they want, based on current and future transactions, relevance, Financial Accounting SEC, GAAP, external users, investors, financial analysts, quarterly reports, based on historical transactions, reliability and objectivity, CPA audits Manager’s responsibilities Planning: set goals, determine how to achieve them Directing: oversee Read more…

Managerial Accounting Exam #1- Pannell

American Institute of Certified Public Accountants (AICPA) the world’s largest association representing the accounting profession; together with the Chartered Institute of Management Accountants (CIMA) offers the Chartered Global Management Accountant (CGMA) designation. audit committee a subcommittee of the board of directors that is responsible for overseeing both the internal audit Read more…

Managerial Accounting Chapter 1

Managerial accounting is the process of identifying, measuring, analyzing, interpreting, and communicating information in pursuit of an organization’s goal Managerial accountants are specialists in using the tools of managerial accounting to help the organization and its managers run the operating effectively. What are the four activities of the management team Read more…

Managerial Accounting

variable costs costs that vary in total in direct proportion to changes in an activity level Example of a cost that varies in total as the number of units change electricity per KWH to operate factory equipment, direct materials cost, wages of assembly worker a cost that has characteristics of Read more…

ACCT 2302 Chapter 18

Financial accounting information is reported at fixed intervals in general-purpose financial statements. These financial statements are prepared according to GAAP. Financial accounting information used by external users such as the following: Shareholders Creditors Government agencies The general public Managerial accounting information is designed to meet the specific needs of a Read more…

ACCT 472.21 Ch. 15

Managerial accounting is applicable to service entities, manufacturing entities, and not-for-profit entities. (all of these) For a manufacturing company, which of the following is an example of a period cost rather than a product cost? Wages of salespersons Which one of the following would not be classified as manufacturing overhead? Read more…

Managerial Accounting Chapter 1

What is the primary purpose and focus of managerial accounting Managerial accounting provides information that helps managers plan, direct, and control operations and make better decisions; it has a -future orientation -focus on relevance to business decisions How do managers design a company’s managerial accounting system that is not regulated Read more…

Managerial Accounting Chapter 1

Sunk Costs Costs that have already been incurred Relevant Costs Costs that differ among alternatives Opportunity Costs The benefits forgone by choosing one alternative over another and are relevant costs for decision making purposes Financial Accounting Concerned primarily with the preparation of general-use financial statements for creditors, investors, and other Read more…

Chapter 1-3 Managerial Accounting

Financial v. Managerial Accounting Managerial: future, for managers who plan and control, emphasis on relevance, emphasis on timeliness, focus on segment reports, not bound by GAAP, not mandatory 3 activities that managerial accounting helps carry out: 1. planning 2. controlling 3. decision making Planning: -Establishing goals, specifying how to achieve Read more…

Chapter 1: Managerial Accounting

What is the objective of managerial accounting? assisting managers in directing and controlling The focus of ____ accounting is to meet the needs of EXTERNAL users Financial What type of organizations use managerial accounting information? Profit seeking, nonprofit enterprises, and manufacturing companies Managerial Accounting Help managers achieve the organization’s goals Read more…

Managerial Accounting Exam 1

Financial Users External Users (e.g, owners, creditors, tax authority, regulators) Managerial Users Internal Users (e.g, planning, directing, controlling, performance evaluation by managers) Financial Time Past Activity Managerial Time Future Activity Financial Characteristics Objectivity, Verifiability, Precision Managerial Characteristics Relevance, timeliness Financial GAAP Must follow GAAP Managerial GAAP Does not need to Read more…