Đang chuẩn bị liên kết để tải về tài liệu:
MANAGEMENT ACCOUNTING: NATURE AND SCOPE

Unbundling the deposit component of an insurance contract leads to the separate recognition and measurement of the financial asset or financial liability arising under the deposit component, and the insurance component of the contract. If the deposit unbundling rules did not apply and the accounting policies of the insurer or reinsurer did not require all assets and liabilities under the contract to be recognised, liabilities might be incorrectly recognised as income and assets as expenses. If the deposit component is unbundled, the insurance component of the unbundled contract is accounted for, in terms of IFRS 4, using the entity’s accounting policies for insurance contracts. The treatment of assets and. | COURSE MANAGEMENT ACCOUNTING COURSE CODE MC-105 AUTHOR Dr. N. S. MALIK LESSON 01 VETTER Prof. M S Turan MANAGEMENT ACCOUNTING NATURE AND SCOPE Objective The present lesson explains the meaning nature scope and limitations of accounting. Further it discusses the activities covered under management accounting and its difference with financial accounting. LESSON STRUCTURE 1.1 Introduction 1.2 Definitions of Management Accounting 1.3 Nature of Management Accounting 1.4 Functions of Management Accounting 1.5 Scope of Management Accounting 1.6 The Management Accountant 1.7 Management Accounting and Financial Accounting 1.8 Cost Accounting and Management Accounting 1.9 Limitations of Management Accounting 1.10 Self-Test Questions 1.11 Suggested Readings 1.1 INTRODUCTION Management accounting can be viewed as Management-oriented Accounting. Basically it is the study of managerial aspect of financial accounting accounting in relation to management function . It shows how the accounting function can be re-oriented so as to fit it within the framework of management activity. The primary task of management accounting is therefore to redesign the entire accounting system so that it may serve the operational 1 needs of the firm. If furnishes definite accounting information past present or future which may be used as a basis for management action. The financial data are so devised and systematically development that they become a unique tool for management decision. 1.2 DEFINITIONS OF MANAGEMENT ACCOUNTING The term Management Accounting observe Broad and Carmichael covers all those services by which the accounting department can assist the top management and other departments in the formation of policy control of execution and appreciation of effectiveness. This definition points out that management is entrusted with the primary task of planning execution and control of the operating activities of an enterprise. It constantly needs accounting information on which to base its .