[ACC 406] - Final Exam Guide - Ultimate 31 pages long Study Guide!

• School: Ryerson University
• Department: Accounting
• Course: ACC 406
• Professor: Kevin Palmer

Document Summary

What is managerial accounting: ma(cid:374)age(cid:396)ial a(cid:272)(cid:272)ou(cid:374)ti(cid:374)g is the p(cid:396)o(cid:448)isio(cid:374) of a(cid:272)(cid:272)ou(cid:374)ti(cid:374)g i(cid:374)fo(cid:396)(cid:373)atio(cid:374) fo(cid:396) a (cid:272)o(cid:373)pa(cid:374)y"s internal users. It uses the fi(cid:396)(cid:373)"s a(cid:272)(cid:272)ou(cid:374)ti(cid:374)g syste(cid:373), a(cid:374)d fo(cid:396)(cid:373)ats the i(cid:374)fo i(cid:374) a (cid:449)ay to support the information needs of managers. This function is intertwined with planning and control in that a manager cannot su(cid:272)(cid:272)essfully pla(cid:374) o(cid:396) (cid:272)o(cid:374)t(cid:396)ol the fi(cid:396)(cid:373)"s a(cid:272)tio(cid:374)s (cid:449)/o (cid:373)aki(cid:374)g de(cid:272)isio(cid:374)s. Current focus of managerial accounting: changes in technology, transportation, and communication have resulted in a new focus: New methods of costing products and services: today"s (cid:272)o(cid:373)pa(cid:374)ies (cid:374)eed fo(cid:272)used, a(cid:272)(cid:272)u(cid:396)ate i(cid:374)fo o(cid:374) the (cid:272)ost of the p(cid:396)oducts/services they produce, activity-based costing (abc) is a more detailed approach to determining the cost of goods/services. It improves costing accuracy by emphasizing the cost of the many activities or tasks that must be done to produce a product or offer a service. For the company to succeed, all stages such as r&d, product design, production, marketing, distribution, and cs need to add value.