Management Accounting

Management Accounting or Managerial Accounting is the accounting system relating to the provision and use of accounting information to managers or management within an organization and to provide a basis to management to make business decisions that will enable the management will be better prepared in the management and control functions.

Unlike the Financial Accounting Information, Accounting Information management is:

* Designed and dimaksukan for use by management in the organization, while financial accounting information is intended and designed for external parties such as creditors and shareholders;
* Usually confidential and used by management and not for public reporting;
* Looking forward, not history;
* Calculated with reference to the needs of managers, frequent use of management information systems, not based on financial accounting standards.

This is because a different emphasis: management accounting information used in an organization, typically for decision-making.

According to the Chartered Institute of Management Accountants (CIMA), Management accounting is a "process of identification, measurement, accumulation, analysis, drafting, interpretation and communication of information used by management to plan, evaluate and control within an entity and to ensure appropriate use and accountability these resources. Accounting management also includes the preparation of financial statements for non-management groups such as shareholders, creditors, regulatory agencies and tax authorities "(official term CIMA).
The American Institute of Certified Public Accountants (AICPA) states that management accounting as a practice extended to the following three areas:
* Management Strategy - Promote the role of management accountant as a strategic partner within the organization.
* Performance Management - Develop practice business decision making and managing organizational performance.
* Risk Management - Contributing to create frameworks and practices to identify, measure, manage and report risks to achieve organizational goals.