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Summary Chapter 16 ~ Financial and managerial accounting 18th edition 3,49 €
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Summary Chapter 16 ~ Financial and managerial accounting 18th edition
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  • Grado
  • Finance and Accounting (IBMTMO117R2)
  • Institución
  • Hogeschool Rotterdam (HR)
  • Book
  • Financial and Managerial Accounting 18e ed

Samenvatting is afkomstig van 'Financial and managerial accounting 18th edition'. Geschreven door Jan R. Williams, Susan F. Haka, Mark S. Bettner, Joseph V. Carcello. De samenvatting is geordend per paragraaf met afbeeldingen uit het boek en de uitleg in puntjes beschreven. Formules worden duide...

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Información del documento

  • No
  • Ch16
  • 7 de enero de 2019
  • 4
  • 2018/2019
  • Resumen

Temas

  • finance and accouning
  • ibms
  • ibl
  • rbs
  • year 2 block 2
  • block 2
  • ibmtmo117r2
  • fa
  • international business management studies
  • tools of management organizations and people
  • chapter 16 financial and managerial acco

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  • Hogeschool Rotterdam (HR)
  • International Business and Management Studies
  • Finance and Accounting (IBMTMO117R2)
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Finance and accountng Chapter 16 samenvatng


LO16-1: Explain the three principles guiding the design of management accountng system.

1. Management accountng systems  help to decide who has the decisions-making authority
over company assets.
2. Accountng informaton  produced or created from the management accountng system
support planning and decision making.
3. Management accountng reports  provide a means of monitoring, evaluatng, and
rewarding performance.

Why do we have management accountngg

 To compute how efcient tusiness operatons are
 To optmize costs and proits (planning)
 To control whether plans (tudgets) are met
 To make managerial decisions on what to do on the
future

Management accountng

 Is used ty internal managers
 Is future-oriented
 Helps management with decisions making
 May te diferent from one company to the other
 Runs parallel to the core tusiness process of the company

Management accountng The design and use if accountng informaton systems inside the irm
to achieve the irmms otjectve
Value chain The linked set of actvites and resources necessary to create and
deliver a product or service to customers.
Benchmark studies A study designed to show a organizaton how its costs and processes
compare to other in the industry
Manufacturing costs The cost of manufacturing the goods that will te sold to costomers.
The tasic types if manufacturing costs are direct materials, direct
lator, and manufacturing overhead.


LO16-2: Describe the three basic types of manufacturing costs.
Direct materials consist of the parts and materials required to manufacture inished products. Direct
lator cost consist of the wages paid to producton employees who work directly on the products
teing manufacturing costs other than the cost of direct martals and direct lator. Examples of
manufacturing overhead include depreciaton of machinery, insurance premiums on manufacturing
facilites, and electricity costs traced to manufacturing operatons.

Prime cost The direct materials and direct lator consumed in the producton of goods
and services
Direct materials Materials and components parts that tecome an integral part of
manufactured goods and can te traced directly to the inished products
Direct labor Payroll costs for employees who work directly on the products teing
manufactured, either ty hand or with machines
Manufacturing A ‘catchallm category including all manufacturing costs others than the costs
overhead of direct materials used and direct lator.

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