The process of creating organization goals by identifying, measuring, analyzing, interpreting and communicating information to managers is call management or managerial accounting.
Management accounting focuses on all accounting aimed at informing management about operational business metrics. It uses information relating to costs of products or services purchased by the company. Budgets are often used to quantify the decisions made in operational planning. Management accountants use performance reports to note variances between actual results from budgets.
The main difference between management accounting and financial accounting is financial accounting is the collection of accounting data to create financial statements, while management accounting is the internal processing used to account for business transactions.
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Answer:
The process of creating organization goals by identifying, measuring, analyzing, interpreting and communicating information to managers is call management or managerial accounting.
Management accounting focuses on all accounting aimed at informing management about operational business metrics. It uses information relating to costs of products or services purchased by the company. Budgets are often used to quantify the decisions made in operational planning. Management accountants use performance reports to note variances between actual results from budgets.
The main difference between management accounting and financial accounting is financial accounting is the collection of accounting data to create financial statements, while management accounting is the internal processing used to account for business transactions.