Managerial Accounting 2304
Popular in Managerial Accounting
Popular in Accounts
This 3 page Class Notes was uploaded by Nikita Hendricks on Monday August 29, 2016. The Class Notes belongs to 2304 at Baylor University taught by Prof. Stuebs in Fall 2016. Since its upload, it has received 30 views. For similar materials see Managerial Accounting in Accounts at Baylor University.
Reviews for Managerial Accounting
Report this Material
What is Karma?
Karma is the currency of StudySoup.
You can buy or earn more Karma at anytime and redeem it for class notes, study guides, flashcards, and more!
Date Created: 08/29/16
Managerial Accounting Prof. STUEBS CLASS NOTES Chapter 1 1. Financial Accounting – Analysis and reporting of financial transaction relating to a business. Managerial Accounting – Managerial is Gathering and analyzing relevant information that is needed to make a decision 2. Specific Differences Between Financial & Managerial Accounting Financial Managerial Primary users External – Internal (investors & creditors) (mangers. & decision makers) Mandated rules GAAP None Reporting unit Organization as a whole Units of an organization – ex: a segment Time horizon Historical / Past Future Timing of information At the end of an As needed – usually in a accounting period – is hurry! & precision not as precise important The Manager’s Role: What do manager’s do? 1. Decision Making— Using information to choose the best alternative from available options made in pursuit of a particular goal or objective. Types of Decisions: a. Planning— the process of setting goals and making plans to achieve them. b. Controlling and Evaluating— the process of monitoring planning decisions and evaluating an organization's activities and employees A. Economics: What are some cost characteristics? 1. Cost Behavior: The way in which a change in response to the changes in the level of activity 2. Cost Function: Product - Costs used in production process to produce inventory Capitalized as part of inventory cost .Period - other costs associated with admin of business or selling of products. Expensed in the same period incurred (income statement) 3. Cost Traceability: Expense that can be directly assigned to an activity or cost object on the basis of a cause-and-effect (causal) relationship. 4. Cost Separability: Expense that can be directly assigned to a specific activity or transaction.
Are you sure you want to buy this material for
You're already Subscribed!
Looks like you've already subscribed to StudySoup, you won't need to purchase another subscription to get this material. To access this material simply click 'View Full Document'