AFM123 Chapter Notes - Chapter 1: Standard Accounting Practice, Management Accounting, Financial Accounting

• School: University of Waterloo
• Department: Accounting & Financial Management
• Course: AFM123
• Professor: Seth Bouwers

Document Summary

Chapter 1 an intro to managerial accounting. The work of management and the need for managerial accounting information. Financial accounting the discipline of account concerned with providing information to shareholders, creditors, and other outsiders of the organization. Managerial accounting the discipline of accounting concerned with providing information to managers for use in planning, directing and motivating and controlling within the organization. Strategy the general direction in which an organization plans to move to achieve its goals and objectives. Planning selecting a course of action and specifying how the action will be implemented; steps involve: Performance report a detailed report containing budgeted results with actual results; suggests where operations are not proceeding as planned and where they require more attention. Planning and control cycle the flow of management activities through planning, directing and motivating and controlling and then back again to planning.