ACC 406 Lecture 1: ACC406 1
Document Summary
Managerial accounting is the provision of accounting information for a company"s internal users. Information is formatted in a way to support the info needs of managers. Financial accounting is primarily concerned with producing information (financial statements) for external users, such as investors, customers, government agencies, etc. Activity-based costing (abc) is a detailed approach to determing the cost of goods and services. It improves accuracy by emphasizing the cost of the many activities and tasks that must be done to produce a product or offer a service. Strategic positioning is effective cost information that helps the company identify strategies that increase customer value, and create sustainable competitive advantage. Usually this is cost leadership or product superiority through differentiation. New products grow through a series of stages: conception, intro to market, growth, maturity, and finally decline and eventual withdrawal from the market. The value chain refers to the set of business functions that add value to an organization"s products or services.
