Management Accounting Report Cost Classification - 2913 Words

| Jupiter LTD. |1 | | |Email: jupiter@ltd.com | JUPITER LIMITED Management Accounting Report Prepared for: Jupiter Ltd. Chief executive officer Prepared by: Date: April 03 2012 TABLE OF CONTENTS EXECUTIVE SUMMARY 2 THE ROLE OF MANAGEMENT ACCOUNTING 3 CLASSIFICATION OF COSTS 4 INVENTORY VALUATION METHODS 7 RECOMENDATIONS 11 Bibliography 12 Jupiter Ltd. Management Accounting Report EXECUTIVE SUMMARY 1 2†¦show more content†¦An enormous speed of technology and great marketing techniques can be sometimes very seductive thus a good knowledge of enterprise s financial situation provided by management accounting system support every purchase decision. Fallowing functions might: Planning functions: Can support a decision and reduce a risk. Might answer a question about selling a particular dishwasher. Is it profitable or not. Control function : It showing a difference between a goals and real profit. It might trace to who or what is responsible for a particular situation. It can show on which days business operate its best. Organizational function: Help to organize a business for a best performance possible It s very useful in resources allocation. Can assist in decision to which department transfer the most founds. Communication function: Help to reduce lack of communication between a management and labours. Can encourage a sell department to achieve a better results. As it s shown above a management accounting system is a crucial and often enough irreplaceable part of modern business. Besides the fact that it help with good controlling of business it create a meaningful information and help with decision process of every level of management as well. CLASSIFICATION OF COSTS COSTS One of methods of supporting a small to medium businesses are a bank loans. In order for a business owner to take such a credit, he or she must know how much it is needed.Show MoreRelatedBusiness Accounting For Non Specialists1367 Words   |  6 Pages THE UNIVERSITY OF DUNDEE SCHOOL OF BUSINESS: ACCOUNTING AND FINANCE AB51022: BUSINESS ACCOUNTING FOR NON-SPECIALISTS ASSESSED COURSEWORK Essay subject: â€Å"Costs may be classified in a variety of ways, depending on their nature and the information needs of management. The analysis of total costs into its behaviour elements is essential for effective cost and management accounting† Theodorou Ilias 140022413 MSc International Business and Finance In every industryRead MoreThe Distribution Of Annual Net Income Scaled By The Market Value At The Beginning Of The Year1618 Words   |  7 Pagesannual net income scaled by the market value at the beginning of the year (Burgstahler and Dichev, 1997). 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