This posting should be at least 300 words(Main Post). Respond to at least 3 other postings (150 words of each).
It may help you to write the response post for the other person discussion
Other Person Post:1
Managerial Accounting is the study, measure, analysis and implementation of different monetary transactions within a business firm (Aly, 2018). Managerial Accounting provides calculative approach specifically for the labor mobilization as well as profit-loss of the firm. With an understanding of managerial accounting business firms can decide if the amount of initial investment that it is going to put into a new business or an additional of new product line to the existing business if realistic, if there is any line of business that the firm needs to close out, is producing raw material a more feasible option than buying out or renting those and so on.
Managerial accounting also helps a firm determine if advertising is need for a firm to promote its products and services and give a direction on what specific customers need to be focused through advertising? This is done on the basis of determination of profitable customers. Along with this managerial accounting also focuses on providing numerical values for business that helps managers in determining firms’ budget and any other financial projections and also determines the financial standing of the firm.
Another important aspect of Managerial Accounting that makes it a decision making tool for any business is that focuses on the concept of Just In Time (JIT) technology which suggest a firm to produce goods and services when needed rather than doing a mass production and maintain an inventory. The main idea behind this logic is the avoid any unnecessary cost that business can avoid on its end (Boyd, 2019).
Hence, the above analysis puts forward the idea on why Managerial Accounting is taken as a decision making tool.
Other Person Post:2
Managerial accounting is nothing but a tool, where managers can achieve different level of planning achievements and to control the circumstance of any organization either public or private domains. Its main aim to concentrate on decision making, because company needs an associate where he/she can take valuable decision at right point of time to be benefited for the organization widely and also it helps leads to be on track of planning and executing.
Some of the important factors like why managerial accounting is useful are list below and are as follows.
· To the point cost analysis: Major motive is to improve sales and revenue for any organization. By using management accounting, it will analyse the current estimations and try to balance the funds for the future activities.
· Need to target right audience to increase the sales and profits to the organization. By implementing the tool, it will analyse the average customers to detect the right points of measure for utilizing it.
· Analysis will start at the point, where any product or service is necessary to produce them or you can directly get them from the direct manufacturer. By this analysis business can know when and where to spend the budget
· Budget planning plays a key role while determining the sales. Managerial accounting helps the organization to give a clear analysis from recent to future then business can easily perform their tasks without any failure.
· Next comes controlling, where business need to understand how much amount of employees it actually needed in the organization and rest can relieve. Managerial accounting helps to get back these kind of situations in upfront.
· It empowers you to keep awake to date with the most recent industry patterns, which implies you can respond in a convenient way and actualize systems that permit you to remain head and shoulders above contenders
Other person post:3
Managerial accounting consists of accounting process that will measure, identify communication information systems that are related to management. Information is important for the industry that helps managers to decide the performance of interpreting the organization’s goals. Managerial accounting results in providing information over helping the managers accounting for the management business (Evans III, 2019). Managerial accounting breaks down the information that relates to business operations as well as company products that are developed over the cost of the product. Service will consider the accounting operations that are performed over the business plans that are developed over the actual results.
Margin analysis will result in the profits considering variable costs that will break the point of even calculating the margin. Price determination results in the service or products will be decided by the managers by using the decision-making tool. Budgeting on the products will result in the manufacturing of products that will result in the decision-making process which helps capital budgeting solutions for industry (Schultz, 2018). Managerial accounting results in the importance of decision-making explains the project capital that will account for the proposals of deciding over products or services that develop over economic benefits. Forecasting results in the feature of costs over the products that are accounted for the financial information where it results in certain costs.
Managers are using decision-making tools for the support of managing product manufacturing, costs, and services. It explains the expenses that are allocated for products where it results in the development of the production of goods. Managerial accounting results in the expenses that result in the calculation of expenses of the products. Direct costs are populated over the cost of goods that are used for inventory costs of new products that are utilized by industry. Accounting system use decision making process by managers to provide useful information about the product cost or manufacturing that results in the decision-making process (Galautdinova, 2019). Industry use decision making process for better results of the business of products determine the actual cost. The information process will relate to capital budgets that present by decision makers it will result the product or service of economic benefits of the organization. Managerial accounting results the types of cost that are considered of assessing profits of the products where mangers used decision making tool that helps organization.