Main objectives of Management Accounting
Write down the main objectives of Management Accounting?
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1) Evaluating performance: Management accounting evaluates two kinds of performance. First is employee presentation and the second is effectiveness measurement. The real performance is evaluated with the standardized performance and a report of divergence from the standard performance is reported to the management for the effectual decision making and as well to indicate the efficacy of the methods in employ. Both types of performance management are employed to make curative actions in order to develop performance. 2) Assess Risk: Aspire of management accounting is to assess risk in order to exploit risk. 3) Allocation of Resources: is a significant purpose of Management Accounting. 4) Arrangement of different financial statements to the Management.
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