Managerial Accounting

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Managerial Accounting


Managerial Accounting Accounting is a crucial part in running a business. There are various forms of accounting that can be used, it is very important to know which technique is best to use for what companies. Once you figure out a particular technique to use, it is important to keep an open mind if there are any changes that need to take place in the business. By keeping an open mind helps the business adjust and be able to make the right decisions. Every business wants to make a profit; accounting is an important part in helping understand how profits and expense amounts are derived. One form of accounting I will focus on is managerial accounting or also known as management accounting. Managerial …show more content…

A plan is a future course of action. Planning is a systematic thinking about ways and means for accomplishment of pre-determined goals (Fundamentals of marketing, 2015). Planning is a way to achieve desired goals and helps in avoiding confusion (Managerial, 2005). Directing is the process in which the managers work together to instruct, guide, and oversee the performance of the workers to achieve their desired goals. People tend to think directing is the heart of the management process and the top function. Directing provides the proper guidance to workers in the field to complete their role (Managerial, 2005). In management, directing is designed so a business can work effectively and efficiently. Directing is required at all levels of organization; every manager provides guidance and inspiration to his or her subordinates. Directing will be in every business or organization, not just for a specified time but for the life of that company. Without directing, planning and organizing would have no meaning. Workers would be lost without the management and would not know their task in order to achieve the goals of the company (Function of Management, 2015). Lastly, we have controlling. Controlling is the process of keeping company’s activities on track. In controlling, managers and executives are the ones to determine if the goals are met or not. Controlling measures the deviation of actual performance from the

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