pexels photo 1467564 1

What is meant by management accounting?

Management accounting is the process of providing detailed information to the management of current and planned events. This information assists managers in their role of planning, controlling and making decisions. Usually, management accounts are available to internal users of accounting information.  

Management accounting is concerned with the accumulation,  classification  and interpretation of information that assists individual executives to fulfil organizational objectives.

Management information contains information such as department budgets, product profitability and information on production costs

Management accounting can also be defined as the presentation  of  accounting information in such a way as to assist the management in the creation of  policy  and  the  day-to-day  operation  of  an  undertaking.

Leave a Comment

Your email address will not be published. Required fields are marked *

%d bloggers like this: