Provision of management accounting information
What do you mean by the term provision of management accounting information?
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Provision of management accounting information can be much costly; though, the costs are frequently difficult to quantify. Direct, out-of-pocket costs like salaries of accounting staff are not really a dilemma to put a price on; however such are just part of the total costs included. There are as well less direct costs like the costs of the manager’s time spent on analyzing and interpreting the information in reports.
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Indirect Cost: A cost which can’t be recognized particularly with or traced to a specified cost object in an economically feasible manner.
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Controllable Cost: A cost which can be influenced by the action of responsible manager. The word always refers to a particular manager as all costs are controllable by somebody.
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