Introduction to Management Accounting
The management accounting and the financial accounting provides the fundamental base for presenting the organizations' past, present and the future performance. However, financial accounting deals with preparing financial reports under the strict regulations of the country specific generally accepted accounting principles and follow the reporting regulations of the stock exchanges. The financial accounting provides information regarding past years' performance and it is primarily used by the stakeholders .
On the contrary, management accounting plays an active role in planning, preparing budgets, assessing performance, evaluating reasons for variances, taking control actions. Along with this, management accounting involves decision ...