Literature Review: Throughput Accounting and Theory of Constraints - Book Report/Review Example

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Literature Review: Throughput Accounting and Theory of Constraints

(Atrill, et al., 1994 pp. 6-7) (Scarlett, 2006 p. 351) According to Mr. David James Anderson, Throughput Accounting is a Management Accountancy principle, of which the prime motive is to help in the decision making process for managers in terms of marketing decisions, promotional decisions, hiring decisions, etc. (Anderson, 2004 pp. 15-17) Although author Mr. David J. Anderson primarily focuses on the use of Throughput accounting in Software engineering industry as the author himself is a software engineer. But based on the titles of some of his books, his knowledge about Management accounts is eminently displayed. The author focuses on how the Throughput Accountancy principle of Management accounts can be incorporated in a forecasting software so as to enable automated forecasting, and to facilitate the managers to make better decisions and business plans. ...Show more

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Management Accountancy is a belatedly revealed Accountancy theory that unlike other accountancy theories does not primarily deal with costing, taxation, corporate fundamentals / technicalities, etc…
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