Features or Characteristics of Management Accounting
- Selective Nature.
- More Emphasis on Future.
- Provides only information but no decision.
- The Problem of Choice.
- Study Causes and Effects Relationship.
- Importance to Elements of Costs.
- Not bounded by the Rules of Financial Accounting.
- Recognition of Non-monetary Variables.
What are basic assumptions of management accounting?
There are four basic assumptions of financial accounting: (1) economic entity, (2) fiscal period, (3) going concern, and (4) stable dollar. These assumptions are important because they form the building blocks on which financial accounting measurement is based.
What are the managerial implications of individual Behaviour?
Managers understand the organizational impacts of individual and group behaviors. Managers are more effective in motivating their subordinates. Relationships are better between management and employees. Managers are able to predict and control employee behavior.
What is Behaviour consideration in management control system?
(i) Controls curb freedom of subordinates; and interfere in their smooth flow of work performance. (ii) Subordinates usually have no hand in setting control standards. As such they feel that controls are imposed on them. (iii) Implementation of controls is regulated by strict rules, procedures etc.
Which is an example of a behavioral approach to management?
This approach focuses on the nature of work, and the degree to which it will satisfy the human need to show skills and expertise. To get better employee performance, communication, motivation, participative management, leadership and group dynamics are integrated in this approach.
What are the four standards of ethical conduct in accountants?
Four standards of ethical conduct in management accountants’ professional activities were developed by the Institute of Management Accountants. The four standards are competence, confidentiality, integrity, and credibility.
How are key behaviors written for each competency?
Two to four key behaviors were written for each zone of each competency. Key behaviors are observable. Key behaviors are measurable. Key behaviors are written in a language that is understood by both employees and supervisors. Key behaviors are written as succinctly as possible. Key behaviors drive the successful performance of the competency.
Why are there different levels of key behaviors?
Since there are various levels of jobs within a job family, key behaviors were developed with jobs in mind that represented each job zone. Naturally, one would expect to find differences in skill development, knowledge and abilities as you contrast a lower level key behavior to the higher level ones within each competency.
