differences with management accounting and financial accounting

Question 1

who are the users of financial accounting and management accounting

Answer 1

external users for financial accounting, internal users for management accounting

Question 2

what is the report type for both

Answer 2

financial statements and internal reports

Question 3

what is the purpose of the report?

Answer 3

general purpose - built for many users
special purpose - built for internal managements decision making

Question 4

what is the content of the report?

Answer 4

detailed/specific: internal use

data beyond financial accounting (can mix financial and non-financial data

Question 4

what is the difference of the report frequency?

Answer 4

financial accounting - quarterly and annually

management accounting - as required

Question 4

what is the verification?

Answer 4

financial accounting is audited and management accounting has no independent verification

Question 5

what are the three board functions of management

Answer 5

planning, directing and controlling