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COST AND MANAGEMENT ACCOUNTING - Essay Example

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Masters
Author : dbartoletti
Essay
Finance & Accounting
Pages 8 (2008 words)

Summary

Name…………………………………………………………………………….xxxxx Institution………………………………………………………………………….xxxx Course…………………………………………………………………………….xxxx Professor…………………………………………………………………………xxxx @2012 Cost and management accounting Accounting has three major branches which include cost accounting, management accounting and financial accounting…

Extract of sample
COST AND MANAGEMENT ACCOUNTING

However, this paper analyzes only two branches of accounting namely financial accounting and management accounting. This report aims at analyzing these two branches in details by looking at each branch separately in regard to accounting. The paper also looks at the differences between the two branches of accounting basing on various factors. Financial accounting It is a branch of accounting that deals with finding and giving information on the profitability of a business. It aims at compiling financial statements of an organization and preparing them so that they show the financial position of a business. This branch is concerned with preparing these statements at the end of every financial year by analyzing revenues, assets, liabilities and other aspects of accounting (Drury 2007). It is the branch that handles the process of accounting and recording in the organization. It determines whether the business has made losses of profits in a certain financial year by preparing relevant financial statements. Managers use financial statements to determine the economic solidness of the company. ...
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