Managerial Accounting

The role of managerial accounting consists in detailing, analyzing, and interpreting the information provided by the general accounting, presenting it in a form that is accessible to the company management. Financial information is confidential, addressed to the internal environment of the company and presented as no standardized periodical reports adapted to the internal management needs. Costs play a determinant role in substantiating the decisions regarding the optimum production system and its adjustment in any competitive economic environment, as a special instrument determining the management of the company both as a whole and for each internal subdivision. But cost will only be able to play its true role if determined in a realistic and pertinent way. Consequently, the final objective of management from the point of view of forecasting, rational organization, information, analysis, prompt decision, and constant control is to obtain production at minimum cost.