Textbook Notes (363,566)
Canada (158,433)
Business (2,364)
BU247 (55)
Greg Clark (14)
Chapter 1

Chapter 1 BU247.docx

2 Pages
Unlock Document

Wilfrid Laurier University
Greg Clark

BU247 Chapter 1 – How Management Accounting Information Supports Decision Making Week 1 What is Management Accounting? -The process of supplying the managers and employees in an organization with relevant information, both financial and nonfinancial, for making decisions, allocating resources, and monitoring, evaluating, and rewarding performance -The reported expense of an operating department, such as the assembly department of an automobile plant or an electronics company, is one example of management accounting information Management Accounting and Financial Accounting -Management account has the following attributes: -It is both retrospective, providing feedback about past operations, and also prospective, incorporating forecasts and estimates about future events. For both retrospective reporting and prospective planning, management accounting uses both financial and nonfinancial measures -It is oriented to meeting the decision-making needs of employees and managers inside the organization. Ideally, a good management accounting system can become a source of competitive advantage for a company -It has no prescribed forms or rules about its content, how the content is to be developed, and how the content is to be presented. All of these get determined by managers’ judgments and decisions about what best meets their needs for actionable information and is defined entirely by the needs of managers using the information. No standard setter or regulator specifically influences the design of management accounting information and s
More Less

Related notes for BU247

Log In


Don't have an account?

Join OneClass

Access over 10 million pages of study
documents for 1.3 million courses.

Sign up

Join to view


By registering, I agree to the Terms and Privacy Policies
Already have an account?
Just a few more details

So we can recommend you notes for your school.

Reset Password

Please enter below the email address you registered with and we will send you a link to reset your password.

Add your courses

Get notes from the top students in your class.