MANAGEMENT ACCOUNTING FOR BUSINESS
Assignment brief: Answer all three questions
Strategic management accounting is concerned with providing information that will support the strategic plans and decisions made within a business: you are required to critically review this statement.
In doing so you should consider the following areas of strategic planning:
Establishing mission, vision and objectives
Undertaking a position analysis such as SWOT
Identifying and assessing strategic options
Selection of strategic options and formulation of long- and short-term plans
Performance review and control
Critically investigate the benefits and limitations of Activity based costing (ABC) compared to traditional costing as an aid to management decision making within manufacturing and service providers industries.
Critically investigate this argument by considering the following areas:
Demonstrate and discuss the underlying differences between the ABC and traditional approach?
b) What has been the basis of the theoretical criticism of ABC?
c) Outline the practical problems that may be encountered in implementing ABC techniques in manufacturing and service industry and comment on how they may be overcome?