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Control-role of management accountant , Managerial Accounting
Control includes a comparison of actual performance with the plan so that deviation from the plan can be identified and corrective action taken.
It can be defined as the process of compelling events to match to a plan. The management accountant aids the control process by providing performance reports that compare the actual performance with the planned outcome for each responsibility centre.
A responsibility centre may be defined as a segment (e.g. a division) of an organization where an individual manager holds delegated authority and is responsible for the segments performance.
The management accountant also draws a manager’s attention to those specific activities that do not conform to a plan. This aids the process of Management by Exception.
Posted Date: 12/4/2012 6:11:24 AM | Location : United States
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