Management Servicii Contabilitate Accounting(2)
Management Servicii Contabilitate Accounting
Contabilitate, process of producing accounts that are specifically designed to serve the needs of the managers who are running a business. All companies are required by law to keep financial accounts in order to produce a record by which shareholders and creditors can judge the company. Firms also need to do day-to-day financial accounting to enable them to keep track of dealings with their customers and suppliers. But the nature of financial accounts is that they present historic information which, on its own, is not sufficient for those responsible for the day-to-day running of a company to do their jobs well. Contabilitate, Management accounts are derived from what are known as cost accounts. The function of these is to provide information that allows individual managers to monitor and control the operations for which they are responsible. The factors that cost accounts report on can be tailor-made to whatever requirements a company has, but they usually focus on the following: the revenue and costs for which individual managers are responsible; the efficiency, productivity, and effectiveness of processes for which a manager is responsible; and the utilization of resources, such as buildings and labour. The management accounts provide servicii contabilitate on how different aspects of the business are performing in relation to what has been forecast in the budget. They should provide an explanation of why a variance has occurred; for example, whether the reason that the gross margin (profit) is less than forecast is because sales are down or costs are up, or a combination of both. They may also contain estimates and forecasts, so that managers have an instant view of what the position would be at the end of the financial year if the current trading pattern continued. Contabilitate, Management accounting is also crucial for planning (developing budgets, for example), for solving problems such as determining the least costly method of production, and for helping with difficult decisions such as the level a price should be set at and the assessment of capital expenditure proposals or different methods of financing for Contabilitate, Servicii Contabilitate, Externalizare Contabilitate. The bigger a company is, the greater the need for cost accounting, and the more important it is to identify accurately the information that the management accounts should contain. The trend has been for more and more information, which is not necessarily a good thing. If managers have too much information, they may not be able to see the wood for the trees, they may spend too much time looking for the “wood” and neglect other duties, or they may simply ignore the whole forest by paying little attention to a barrage of figures they consider impenetrable. Contabilitate, the more information that is collected and the more it is analysed and presented in different ways, the higher the cost. It is also likely that the more complex the management accounts are, the longer they will take to prepare. This is an important consideration as the usefulness of management accounts depends on their timeliness at Contabilitate, Servicii Contabilitate, Externalizare Contabilitate; the older information is, the less it will reflect the current situation. Most important of all, however, is the quality automatizari nice and integrity of the information. If the systems of recording, analysing, or disseminating the information are flawed, the less useful and the more (potentially) damaging the management accounts become. Andrew Peterson
Related Articles – Contabilitate, Servicii Contabilitate, Externalizare Contabilitate,
Email this Article to a Friend!
Receive Articles like this one direct to your email box!
Subscribe for free today!