StudentShare solutions
Triangle menu

Management accounting - Essay Example

Free

Extract of sample
Management accounting

This is because it is used to refer to a variety of issues in an economy. For example, a free market economy is used to refer to a market whereby there isn’t any government regulation (Atrill and Mclaney, 2012). In other circumstances, a free market economy refers to a market where by the prices of goods and services are controlled by the laws of supply and demand. A free market economy can also be used to refer to a market which does not have a monopoly. Proponents of a free market economy have made a mistake in advocating for an economy which is free of regulation as the best method of economic governance. This is because the free market economy failed to prevent the occurrence of the financial crises in Europe and the United States. It is important to denote that markets is a social institution, and therefore markets cannot act, but it is the behavior of the people within the market that will affect the market under consideration (Atrill and Mclaney, 2012). It is therefore important to regulate the behavior of people so that they do not destroy the economy of a state. For instance, the economic crisis in America was precipitated by the failure of the mortgage system in America (Bhimani, 2012). People took too much money for mortgages, leading to a rise in value of properties. However, they were unable to pay back the mortgages because of their high interests. Had there been laws to regulate the lending behavior of banks, and individuals, this crisis would not have happened. Question

Check these samples - they also fit your topic

Management accounting
……………………………………………...6 References…………………………………………………………………………………………7 Introduction British Airways plc (BA) is one of the largest airlines worldwide and is considered as the national carrier of the United Kingdom based on its large fleet, international flights and destinations.
6 pages (1500 words) Essay
Management Accounting --
This contingency management depends on the manager’s personal leadership style. It also relies upon the talent and behaviours of the regular employees. The contingency theory is a line of thinking that there is no one ideal way of leadership. It also contends that certain leadership styles may be effective in some situations, but not so in others.
3 pages (750 words) Essay
Management accounting
Since the director’s of companies cannot execute their company’s strategies on their own, they have to rely on people and thus create an organization structure that allows decentralization of management responsibilities. According to Hoskin & Macve (1990, pg.
6 pages (1500 words) Essay
Management Accounting
Management accounting emphasizes on decision making and forward looking instead of the old or historical data which the basic accounting used to emphasize. There are different methods that have emerged because of management accounting and some of these techniques are; Activity Based Costing (ABC), Grenzplankostenrechnung (GPK), Resource Consumption Accounting (RCA), etc.
4 pages (1000 words) Essay
MANAGEMENT ACCOUNTING
This paper contains an introduction to the topic of discussion, literature review, a research methodology that was used to collect data, a section for analyzing the data, and a last section for conclusion. Table of Contents 1 1.0 Introduction 3 2.0 Literature review 4 2.1 Accounting 4 2.2 Management control/ accounting systems 5 2.3 Management accounting and decision-making 6 3.0 Research methodology 7 4.0 Analysis 8 4.1 Supporting arguments for Johnson and Kaplan’s (1987) argument 8 4.1 Arguments against the criticism issued by Johnson and Kaplan 9 5.0 Conclusion 11 References 12 1.0 Introduction The field of management has witnessed numerous transformations that are mainly attributed to
10 pages (2500 words) Essay
Management Accounting
Management accounting is a branch of accounting which mainly deals with various managerial aspects. This is primarily handled by the managers within the organization, and it is an essential component in taking appropriate decisions. The concept of management accounting comes under the Management accountant who is responsible for the preparation of financial statements, and management accounting report for appropriate decision making.
4 pages (1000 words) Essay
Management Accounting
"The process of identification, measurement, accumulation, analysis, preparation, interpretation and communication of financial information used by management to plan, evaluate, and control within an organization and to assure appropriate use of and accountability for its resources.
8 pages (2000 words) Essay
Management Accounting
This report aims to develop a blueprint for the implementation of management accounting system for the company according to its specific needs,
6 pages (1500 words) Essay
Management accounting
Strategy is mainly depended upon the mission, vision and values of the organization and the goal of BSC is to map the strategy and measure the strategy accordingly.
4 pages (1000 words) Essay
Management accounting
They play different roles in the process of satisfying the needs of the stakeholders of a particular organization. This essay attempts to provide a clear understanding regarding the differences that exist between the management
4 pages (1000 words) Essay
Two: Positive accounting theory refers to an academic research in the field of accountancy which tries to explain and predict actual accounting practices. Positive accounting theories try to give an explanation on why certain accounting procedures and practices are popular, as opposed to other accounting policies and procedures (Bhimani, 2012). This concept of positive accounting theory was developed to give a better explanation on how best to use certain accounting concepts and practices. Positive accounting theory has three main criticisms, and they are (Atrill and Mclaney, 2012); Positive accounting theories do not have a provision for any prescription, nor does it state what is supposed to happen. They only predict and explain what would happen. This is the main aim of positive accounting and it is therefore not sufficient to explain various concepts of accounting. Positive accounting theory is not value free, and this is because it only predicts and explains what individuals might do, without giving an explanation on what individual should do for purposes of solving a financial/ accounting problem. Positive accounting theory makes an assumption that every agent (managers) and principal (owners) have an interest in benefiting themselves, as opposed to the organization. The main interest of the agent and principal is to maximize wealth, without putting a consideration on the adverse effects of their actions. These criticisms of positive accounting theory are right. This is because positive accounting theories can lead to the alienation of accountants. This is because they do not provide a prescription to a certain accounting problem. The assumption that an agent and a principal are concerned with their own selfish interests, without considering the consequences of their actions is false. This is because many institutions consider their environment of operation before enacting policies. Question Three: In the capital market, allocation of assets is amongst the most important decisions that are related to investments. Investing in these markets is very risky, because of a variety of factors and therefore there is a need of an appropriate analysis of the capital market.

Summary

The economies of Europe and that of America experienced a financial crisis because of too much liberalization of their economies.The European Union and the United States government advocated for a free market economy…
Author : blockdesmond
Management accounting essay example
Read Text Preview
Comments (0)
Click to create a comment
Contact Us