ACC 117 Chapter Notes - Chapter 1: Enterprise Risk Management, Corporate Social Responsibility, Fixed Cost
Document Summary
Financial accounting reporting financial info to external parties. Must follow gaap (generally accepted accounting principles) Managerial accounting provides information to managers for use within the organization (3 pillars) Establishing goals and specifying how to achieve them. Monitoring and ensuring the proper execution of plans. Gathering feedback needed to ensure that expectations are being met. Selecting the best possible course of action. Game plan that enables company to attract customers. Identifies risks, and develops responses for them to assure the organizational. Enterprise risk management goals will be met. Cost object anything through which cost data is desired. Cost behavior how a cost reacts to changes in levels of activity. Cost structure - relative proportion of each type of cost in an organization. Fixed costs cost that remains the same in total regardless of level of activity. As activity goes ^up^, fixed cost per unit per unit goes down.
