Types of Accounting for Decision-Making
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ScribdTranslationsTypes of Accounting for Decision-Making
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ScribdTranslationsEXECUTIVE SUMMARY
Accounting (information for decision making
decisions
For decision-making at the business level, we have 3 types of
accounting information:
A) Managerial Accounting:
This is based on internal aspects of the company, collecting
information without it leaving the company, that is, the data
accounting records are not transmitted beyond the company or section
administrative, addressed to: Owners, administrators, directors.
B) Financial Accounting:
Type of accounting that collects financial data from the
company, data intended for owners or shareholders,
investors and public organizations, and are presented in data
quantitative expressed in monetary units (money).
C) Tax Accounting:
Focused on the company's tax issues, based on
legal criteria established by the legislation of the country. It
they prepare records and reports of the economic movements of
the company, to be presented before the tax authority,
determining the taxes to be paid.
Content and objectives of financial reports:
Its objective is to generate and communicate useful information of a type
quantitative for the different external users of the
organization in decision-making. Its content must
provide the financial statements, balance sheet, income statement
resultados; (activos, pasivos, capital, ingresos, gastos,
registered as appropriate).
The Accounting Information:
Allows: To make short and long-term decisions.
Evaluate the management of the administrators, among other things.
Financial Information must be presented by the
organization in financial statements, indicating the current status
from the finances to a date and contain: General Balance and
Income Statement. In addition to being prepared in accordance with
internal and external rules and statutes of the institution
Reliability of Financial Statements:
For a financial statement to be reliable, it is necessary that the
integration and quantification process of the haya information
be objective and the rules under which it was generated
information should be stable and if possible verify the steps
followed in the process of its elaboration and thus the
users can place trust in that information.
Management in Financial Statements:
General Directors, functional directors, area managers, heads of
department, etc., need to monitor the
performance of the entity they work for and result of their
own work. The information for this is of a level of detail
greater than that supplied to external users.
Competence, integrity, and professional judgment:
It involves being attentive to innovations in the field of
managerial accounting.
Work in accordance with the laws or regulations.
Objective information.
Remain impartial in the face of discrepancies and particular interests
that could affect the company depending on the decision that is made
drink.
Keep all information to which you have access secret
during their work and not to be used for personal benefit or
third persons.