Answered: Explain how management accounting…

Business

Accounting

Explain how management accounting should not fit the straitjacket of financial accounting.

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Related questions

Q: Outline the technical benefits of a conceptual framework. What problems could occur if accounting…

A: Accounting Conceptual framework is a body of interrelated ideas and fundamentals that provide a…

Q: While business decisions should be data-driven and usually involve consideration of quantitative…

A: Following are the qualitative factors that should be considered while making a make and buy decision…

Q: hich of the following is not a fundamental quality of useful accounting information? Group of

A: Materiality is crucial in determining what information to include, It is not one of the core…

Q: Explain management’s responsibility for ethical financial reporting and describe the basic…

A: Management is liable for coverage and business the monetary data attributable to the subsequent…

Q: Explain the difference between conservative and aggressive accounting practices.

Q: Which concept states that any policies adopted for accounting should not change frequently unless it…

A: There are basically 11 accounting concepts on which basis accounting is done by accountants across…

Q: both financial and management accounting rely exclusively on gaap for reporting true false

A: Financial accounting is that branch of accounting which deals with preparation and circulation of…

Q: A key difference between management accounting and financial accounting reports is that management…

A: Accounting is related to recording business transactions. The account has a different aspects like…

Q: What is management’s responsibility for reporting on internal control over financial reporting?

A: Internal control is a mechanism or procedure that the company implements so that the integrity of…

Q: Which of the following is NOT an objective of Management Accounting? a. Interpretation of Financial…

A: Management accounting refers to use of accounting and financial information of an entity in order to…

Q: Explain the differences between a positive theory of accounting and a normative theory of…

A: The question is based on the concept of Business Accounting.

Q: How do the content of reports and the verification of reports differ between managerial and…

A: The content of reports and the verification process in managerial and financial accounting differ in…

Q: Which of the following is not an advantage of accounting standards? Select one: a. All of the…

A: Accounting standards are designed for thr purposes of standardisation of accoutning and reporting…

Q: Which of the following statement is incorrect? Select one: a. Cost accounting is not required by law…

A: Financial accounting, management accounting and cost accounting are three different forms of…

Q: Discuss the implications of material errors on financial statements and the potential consequences…

A: An organization's reputation refers to the overall perception, opinion, and evaluation that…

Q: what is the Judgement Traps in accounting?

A: Judgment trap is also known as judgment triggers which refers to the inherited issue that leads…

Q: From the following statements which one is not the correct classification of accounting theory

A: Accounting theory is the theory which is actually the set of guidelines, principles or in order…

Q: What is the concept of conservatism in accounting and why is it important? Discuss the potential…

A: The concept of conservatism in accounting refers to the principle of being cautious or prudent when…

Q: Why do you believe Accounting Standards should be mandatory?

A: A document created by a rule-making body that prescribes how accounting transactions should be…

Q: Management accounting and financial accounting differ in that management accounting information is…

A: Management accounting and financial accounting are very much similar and differ mainly in two…

Q: Accounting What are some common financial statement errors or discrepancies that analysts and…

A: Financial statement errors refer to inaccuracies, discrepancies, or misrepresentations in an…

Q: How do the subject matter of reports and the verification of reports differ between financial…

A: Both financial and managerial reporting have different scope and objectives .Detail explanation…

Q: regulation around accounting and financial statement preparation

A: An accounting standard is actually a set of principles, procedures, and standards that determine the…

Q: When preparing financial statement, accountants or auditors will determine an amount which is not…

A: It is practically not possible for an auditor to audit all the transactions in an accounting system.…

Q: What are some of the flaws of teaching accounting only as a skill?

A: Accounting can be defined as the process of recording, analyzing, reporting and summarizing the…

Q: What are the different types of accounting theories, and how do they differ from each other? Discuss…

A: Accounting theories refer to the frameworks or models that explain and predict accounting practices…

Q: The techniques and practices of management accounting are usually constrained by: Select one: O A.…

A: Managerial accounting, also called management accounting, is a method of accounting that creates…

Q: Do not use Ai

A: Financial accounting is a system designed to provide critical financial information to external…

Q: 9) Which of the following statements is FALSE? A) Financial accounting information only serves a…

A: Financial statement includes the preparation of the balance sheet, income statement, and the…

Q: Describe why financial management within an organization is such a difficult task and importance of…

A: Financial management (FM) means managing all the activities which are related to funds like…

Q: Which statement is false? a. Management accounting makes use of both quantitative and qualitative…

A: Management accounting and financial accounting are two different spectrums of the broader field of…

Q: Why should management explain poor performance in technical accounting terms? Only typed solution

A: The objective of the question is to understand the importance of explaining poor performance in…

Q: How does subjective accounting policies at General Electric assist in hiding poor decision-making…

A: The question as appearing to me looks incomplete. But I'll do my best to get to your point.…

Q: Financial accounting data prepared in accordance with GAAP. But management accounting don’t follow…

A: The answer for the theory question on Financial Accounting vs Management Accounting is presented…

Q: Evaluate the following statements from an ethical perspective:“Earnings management in a narrow sense…

A: "Earnings management, in a narrow sense, is the behavior of management to play with the…

Question

Explain how management accounting should not fit the straitjacket of financial accounting.

Expert Solution

This question has been solved!

Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.

SEE SOLUTION Check out a sample Q&A here

Step 1

VIEW

Step 2

VIEW

Step by step

Solved in 2 steps

SEE SOLUTION Check out a sample Q&A here

Knowledge Booster

Earnings Quality, Measurement and Management

Learn more about

Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.

Similar questions

Both financial and managerial accounting rely exclusively on GAAP for reporting. True False
Do not Copy What is the difference between managerial and financial accounting?
Which of the following statements is false? Select one: O A. Management accounting statements need not comply with Accounting regulations O B. Financial accounting statements normally reflect more detail than would be found in management accounting reports O C. Management accounting reports emphasise future activities and future costs O D. Financial accounting data are directed primarily at external users rather than internal users.
Which of the following statements is false? O a. Managerial accounting does not need to conform to GAAP. O b. Managerial accounting sometimes relies on past information. Oc. There is no overlap between financial and managerial accounting. O d. Financial accounting must conform to GAAP.
Why are internal accounting controls important to a business? What are advantages vs. the disadvantages? Is there a cost to the business for these internal controls? Who requires the controls?
explain why financial management is a difficult task within an organisation, and give examples as well as the risks associated with financial management
Which of the following statements is false? a.Financial accounting must conform to GAAP. b.Managerial accounting sometimes relies on past information. c.Managerial accounting does not need to conform to GAAP. d.There is no overlap between financial and managerial accounting.
please answer correct