General Business ACC212 Chapter Notes - Chapter 1: Double-Entry Bookkeeping System, Chartered Professional Accountant, Accounting

• School: Seneca College
• Department: General Business
• Course: General Business ACC212
• Professor: Seanna Johnson

Document Summary

Managerial accounting (management accounting): is a field of accounting that provides economic and financial information for managers and other internal users. Internal reports (used as frequently as needed: special purpose for specific decisions, reports pertains to distinct component of the business, very detailed, extends beyond double entry accounting to any relevant data, standard is relevance to decisions. Gaap generally accepted accounting principles: no independent audits. Same: both deal with economic events of a business, co(cid:373)pa(cid:374)y"s e(cid:272)o(cid:374)o(cid:373)i(cid:272) eve(cid:374)ts (cid:271)e (cid:395)ua(cid:374)tified a(cid:374)d (cid:272)o(cid:373)(cid:373)u(cid:374)i(cid:272)ated to i(cid:374)te(cid:396)est pa(cid:396)ties. Managers activities and responsibilities can be classified into three broad functions: planning. Maximizing short term profits and market share. Key objective of management is to add value to the business under its control: value is usually (cid:373)easu(cid:396)e (cid:271)y the t(cid:396)adi(cid:374)g p(cid:396)i(cid:272)e of the (cid:272)o(cid:373)pa(cid:374)y"s shares and potential selling price of the company, directing. Coo(cid:396)di(cid:374)ati(cid:374)g a (cid:272)o(cid:373)pa(cid:374)y"s dive(cid:396)se a(cid:272)tivities a(cid:374)d hu(cid:373)a(cid:374) (cid:396)esou(cid:396)(cid:272)es to p(cid:396)odu(cid:272)e a smoothly run operation.